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Calendar No. 540
104th Congress Report
SENATE
2d Session 104-334
_______________________________________________________________________
ACCOUNTABLE PIPELINE SAFETY AND PARTNERSHIP ACT OF 1996
__________
R E P O R T
of the
COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
on
S. 1505
July 26, 1996.--Ordered to be printed
SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
one hundred fourth congress
second session
LARRY PRESSLER, South Dakota,
Chairman
ERNEST F. HOLLINGS, South Carolina TED STEVENS, Alaska
DANIEL K. INOUYE, Hawaii JOHN McCAIN, Arizona
WENDELL H. FORD, Kentucky CONRAD BURNS, Montana
J. JAMES EXON, Nebraska SLADE GORTON, Washington
JOHN D. ROCKEFELLER IV, West VirginiaTRENT LOTT, Mississippi
JOHN F. KERRY, Massachusetts KAY BAILEY HUTCHISON, Texas
JOHN B. BREAUX, Louisiana OLYMPIA J. SNOWE, Maine
RICHARD H. BRYAN, Nevada JOHN ASHCROFT, Missouri
BYRON L. DORGAN, North Dakota BILL FRIST, Tennessee
RON WYDEN, Oregon SPENCER ABRAHAM, Michigan
Patric G. Link, Chief of Staff
Kevin G. Curtin, Democratic Chief
Counsel and Staff Director
104th Congress Report
SENATE
2d Session 104-334
_______________________________________________________________________
ACCOUNTABLE PIPELINE SAFETY AND PARTNERSHIP ACT OF 1996
_______
July 26, 1996.--Ordered to be printed
_______________________________________________________________________
Mr. Pressler, from the Committee on Commerce, Science, and
Transportation, submitted the following
R E P O R T
[To accompany S. 1505]
The Committee on Commerce, Science, and Transportation, to
which was referred the bill (S. 1505) ``A Bill to reduce risk
to public safety and the environment associated with pipeline
transportation of natural gas and hazardous liquids, and for
other purposes'', having considered the same, reports favorably
thereon with an amendment in the nature of a substitute and
recommends that the bill (as amended) do pass.
Purpose of the Bill
The purpose of this legislation is to reauthorize
appropriations for the Natural Gas and Hazardous Liquid
Pipeline Safety programs, and to reduce the risks and enhance
environmental protection associated with pipeline
transportation. S. 1505, as amended, is intended to enhance the
delivery of hazardous liquid and natural gas materials in a
safe and environmentally responsible manner and permit the
Department of Transportation (DOT) to build a more effective
partnership with States, the public and industry.
Background and Needs
The authorization of appropriations for pipeline safety
programs expired September 30, 1995. By delegation of the
Secretary of Transportation (Secretary) through the Research
and Special Programs Administration (RSPA), the Office of
Pipeline Safety (OPS) is charged with administering pipeline
safety programs. Appropriations for pipeline safety programs
were previously authorized under the Natural Gas Pipeline
Safety Act of 1968 and the Hazardous Liquid Pipeline Safety Act
of 1979. The two laws were combined under a single authority
during the general recodification of Title 49, U.S. Code, in
1994.
PIPELINE TRANSPORTATION
OPS overseas the transportation of natural gas to 55
million residential and commercial customers. OPS also oversees
the transportation of more than 605 billion ton miles of
petroleum and other hazardous liquids pipelines. OPS
jurisdiction covers more than 2,000 gas pipeline operators with
more than 1.6 million miles of pipeline, and more than 200
operators and almost 200,000 miles of pipe transporting
hazardous liquids. OPS also has responsibility for pipeline
safety and environmental protection programs under the Oil
Pollution Act of 1990.
Pipeline safety programs are entirely financed by user
fees. Gas transmission operators and hazardous liquid pipeline
operators pay a pro rata share of program costs based on total
pipeline mileage. Operators of liquefied natural gas facilities
are assessed based on total storage capacity. Oil Pollution Act
funds are derived from the Oil Spill Liability Trust Fund.
National Transportation Safety Board statistics show
pipelines to be one of the safest modes of transportation in
the United States. Among all modes--highway, rail, aviation,
marine, and pipeline--fatalities from pipeline accidents
represent less than \3/1000\ of 1 percent of the total number
of fatalities on an annual basis.
In recent years, support has grown for developing
innovative and alternative approaches to pipeline safety. The
goal is simple and direct: improve pipeline transportation and
efficiently manage both public and private resources. Given the
desire for improvement, OPS initiated administrative activities
to ensure that most safety and environmental risks are
addressed with the most cost-effective solutions. OPS
recognized legislation ultimately would be necessary to codify
and authorize its initiative.
The Administration's pipeline safety reauthorization
submission last year sought new authority to work with industry
and others to move away from traditional ``command-and-
control'' regulations. The legislative proposal requested
authority to establish a formal structure to evaluate pipeline
risks and their consequences, to develop solutions to address
the risks, and establish management priority systems to
implement the solutions.
The Committee supports a shift in the pipeline safety
program away from a prescriptive, one-size-fits-all regulatory
approach. As reported, S. 1505 responds to this challenge and
provides statutory authority to initiate the shift.
Legislative History
Senator Lott, Chairman of the Subcommittee on Surface
Transportation and Merchant Marine, introduced S. 1505, the
Accountable Pipeline Safety and Partnership Act of 1995, on
December 22, 1995. A bipartisan group of Senators (Senators
Breaux, Hutchison, Exon, Burns, Ford, Inouye, Shelby, Cochran,
Frist, Inhofe and Pressler) cosponsored S. 1505.
S. 1505, as introduced, was similar to H.R. 1323, the
Pipeline Safety Act of 1995.
The Committee held a hearing on S. 1505 on April 16, 1996.
At the hearing, the Committee heard concerns from affected
parties, including federal and state regulators.
In open executive session on June 6, 1996, S. 1505 was
amended by the Committee and ordered to be reported without
objection.
Summary of Major Provisions
RISK ASSESSMENT REFORM
The bill builds upon the Administration's submission and
broadens the application of risk-based solutions through the
performance of risk assessments. Risk assessments identify the
sources of risk, analyze the severity of potential risk
consequences and quantify the likelihood of experiencing those
consequences.
S. 1505, as reported, establishes a structured risk
assessment, cost-benefit analysis process as a possible basis
for future pipeline safety standards. The risk assessment
process designed in the Committee bill may ensure that future
pipeline safety standards recognize and incorporate more
detailed, scientifically and economically grounded
considerations. The Committee's bill complements OPS's existing
risk assessment prioritization (RAP) model which seeks to
identify the most rational, cost-effective alternatives, if
any, to a given proposed safety requirement. S. 1505 moreover
builds on the existing rulemaking procedures already followed
by the Administration generally and by OPS specifically.
Under the bill, the Secretary must issue safety standards
based on a reasoned determination that the benefits of the
intended standard justify its costs. As noted above, OPS
already has a RAP program in place.
The bill requires a risk assessment to be performed when
prescribing new pipeline standards. The assessment would
identify or estimate the benefits expected to result from a
proposed standard, as well as identify or estimate the expected
costs to result from the proposed standard. The Committee fully
recognizes that all benefits and costs cannot be quantified
with precision and consequently S. 1505 does not prevent the
consideration of unmeasurable benefits and costs. The OPS
assessments also would have to identify both the regulatory and
nonregulatory options available when considering a new
standard.
S. 1505 subjects the risk assessment information prepared
for the Secretary to peer review. The peer review would be
conducted by existing panels at OPS, the Technical Pipeline
Safety Standards Committee and the Technical Hazardous Liquid
Pipeline Safety Standards Committee (Technical Committees). The
peer review process in the reported bill is based partly on the
time-tested review method governing the academic community, a
process wherein technical experts offer comments intended to
improve the quality of a product. The bill takes advantage of
the existing regulatory review process conducted by OPS's
committees, committees comprised of government, public and
industry experts on pipeline transportation matters. S. 1505
permits the OPS committees the option of making recommendations
on the risk assessment information submitted.
It is intended that this process will bring more
rationality to federal pipeline safety standard setting and
broaden participation by requiring OPS to consider more
carefully comments received from these bodies. The Committee
expects that OPS will diligently assist these committees in the
conduct of this important function.
Since the performance of risk assessments on every rule may
not be justified, S. 1505 specifies four circumstances under
which the risk assessment and cost-benefit provisions do not
apply. These include situations in which: (1) the standard is
the result of a negotiated rulemaking; (2) no significant
opposition to the rule is expressed during the public comment
process; (3) a proposed rule is endorsed by three-fourths of
the Technical Committees; and (4) the exemption for notice and
public comment is invoked under the Administrative Procedures
Act.
In order for a meaningful analysis of the public policy
benefits of risk assessments to be made, the Congress will need
to know what they accomplished and whether the designed process
was workable. Therefore, the bill requires the Secretary to
transmit a report to Congress describing the implementation of
the risk assessment requirements and the extent to which the
requirements improved regulatory decision making. The report
must be submitted no later than March 31, 2000.
RISK MANAGEMENT DEMONSTRATION PROJECTS
The principle of risk management is well tested. It has been
extensively studied by the academic community and successfully
used in a number of different businesses and industries.
Chemical and petrochemical companies have found the risk
management process to be more effective than relying solely on
regulations. \1\ Insurance companies frequently view good risk
management as an effective loss prevention process.
---------------------------------------------------------------------------
\1\ See Natural Gas Pipeline Risk Management, Volume II-Search of
Literature Worldwide on Risk Assessment/Risk Management for Loss of
Containment, Gas Research Institute, October 1995.
---------------------------------------------------------------------------
Some pipeline companies already use risk management when
deciding in which safety measures to invest that go beyond
current safety standards. In anticipation of Congressional
action, OPS has been developing and validating standards and
measures to permit the start of a safe and environmentally
sound demonstration program.
Over the past two years, a Government and industry
partnership has built a foundation of knowledge and
professional understanding for demonstrating risk management in
pipeline transportation. Working with State partners and
industry, OPS formed risk assessment quality teams (RAQTs) to
design a new, collaborative regulatory framework as an
alternative to specification-based regulation. The designed
approach would permit an operator to substitute an
individually-tailored risk management plan for the minimum
Federal standards that would otherwise apply.
The reported bill gives OPS the authority to take advantage
of this two-year investment and initiate risk management
demonstration projects. The demonstration projects provision
incorporates principles set forth in a report by the Gas Risk
Assessment Quality Team entitled ``Risk Management Within the
Gas Pipeline Industry'', and a similar report by the liquids
team entitled ``Risk Management Within the Liquid Pipeline
Industry.''
Under the program envisioned by the legislation, the
Secretary would seek voluntary participation by interstate
natural gas and hazardous liquid transmission operators in good
standing to demonstrate company-specific risk management plans.
The Secretary would complete a rulemaking that outlines the
demonstration plan elements and provides opportunities for full
public participation in the process. The formal risk management
plans would be submitted and approved by order of the
Secretary. S. 1505 clearly requires that the risk management
demonstration plans meet or exceed the overall level of safety
that would be achieved with existing regulatory requirements.
The Committee expects OPS inspectors to monitor diligently the
industry's compliance with the OPS approved management plans.
In summary, the risk assessment and risk management
provisions of the reported bill rest on the foundations
previously established by OPS, industry, and academic
communities. The bill builds on initiatives undertaken at OPS
to focus its regulatory and programmatic agenda on the most
important public safety and environmental protection standards,
as well as providing industry with more flexibility to conduct
their operations safely. The bill also provides the legislative
framework to implement the results of more than two years of
planning by OPS and the risk assessment quality teams seeking
to promote safety and regulatory flexibility.
STATE PARTNERSHIPS
Current law authorizes the Federal government to reimburse
States for up to half the costs incurred in carrying out their
responsibilities for monitoring and enforcing national natural
gas pipeline safety standards. Although budget constraints
preclude guaranteeing States a fifty percent cost
reimbursement, the authorization levels in S. 1505 are higher
than those in pending House legislation.
OPS must work closely with and inform States about the
development of risk management demonstration plans. S. 1505 as
reported also gives DOT the discretion to assign responsibility
to the States for approval and administration of a risk
management demonstration project plan to the extent the
affected pipeline facility is an intrastate facility. The bill
does not affect the relationship between the States and
interstate pipeline operations.
UNUSUALLY SENSITIVE AREAS
Under section 60109 of title 49, U.S. Code, as added by the
Pipeline Safety Act of 1992, the Secretary is to describe
through regulation the definition of areas unusually sensitive
to environmental damage if there is a hazardous liquid pipeline
accident. The purpose of the unusually sensitive area
description is to define areas within which pipelines' rights
of way will be subject to increased testing and inspection.
This will ensure that every reasonable measure is taken to
prevent a spill and to develop contingency plans on how to
respond in the event of an accident. RSPA has held several
workshops attended by the public, environmental groups,
industry and government representatives to discuss the guiding
principles for determining which areas are unusually sensitive
to environmental damage. While the final description is left to
the Secretary, Congressional guidance is crucial.
There is language in the bill to provide guidance to DOT. The
language makes clear the Secretary should focus on areas in
which permanent or long-term environmental damage is likely in
the event of a hazardous liquid pipeline accident. For example,
such an area would include intake locations for community water
systems and critical sole source aquifer protection areas. The
bill language provides a more comprehensive, but not exclusive,
list of area types.
INSTRUMENTED INTERNAL INSPECTION DEVICES
The 1994 recodification produced confusion as to the original
legislative intention concerning the standards for instrumented
internal inspection devices (commonly referred to as ``smart
pigs''). The Committee has worked to clarify this matter by
returning the statutory language to the language prior to
recodification.
The Committee intends for DOT to have the authority to order
a pipeline to run a ``smart pig'' if circumstances justify such
an order. Devices like smart pigs are important safety tools.
However, the Committee does not intend to require a wholesale
or extensive retrofit of existing pipelines to accommodate
specific internal inspection devices such as smart pigs.
Estimated Costs
In accordance with paragraph 11(a) of rule XXVI of the
Standing Rules of the Senate and Section 403 of the
Congressional Budget Act of 1974, the Committee provides the
following cost estimate, prepared by the Congressional Budget
Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, June 18, 1996.
Hon. Larry Pressler,
Chairman, Committee on Commerce, Science, and Transportation, U.S.
Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for S. 1505, the
Accountable Pipeline Safety and Partnership Act of 1996.
Enacting S. 1505 would affect direct spending and receipts.
Therefore, pay-as-you-go procedures would apply to the bill.
If you wish further details on this estimate, we will be
pleased to provide them.
Sincerely,
June E. O'Neill, Director.
Enclosure.
congressional budget office cost estimate
1. Bill number: S. 1505.
2. Bill title: Accountable Pipeline Safety and Partnership
Act of 1996.
3. Bill status: As ordered reported by the Senate Committee
on Commerce, Science, and Transportation on June 6, 1996.
4. Bill purpose: S. 1505 would:
Authorize a total of $140 million to be appropriated
for the gas and hazardous liquid pipeline safety
programs and the pipeline safety grant program for
fiscal years 1996 through 2000;
make changes to the pipeline safety program;
require the Secretary of Transportation to issue a
report on pipeline user fees;
establish a risk management demonstration project;
allow the Secretary of Transportation to make grants
to and enter into cooperative agreements with other
agencies, state and local governments, educational
institutions or other entities to develop, improve, and
promote one-call damage prevention programs, research,
risk assessment and mapping;
impose criminal penalties on individuals who do not
report damaged pipeline facilities to the appropriate
authorities; and
impose criminal penalties on individuals who excavate
and dispose of solid waste on a pipeline right-of-way
without authorization.
5. Estimated cost to the Federal Government: Assuming
appropriation of the entire amounts authorized, enacting S.
1505 would increase federal outlays by $26 million over the
1997-2002 period. That estimate is the difference between gross
discretionary spending of $140 million authorized by the bill,
and an estimated $114 million in pipeline user fees that would
be collected over the 1997-2000 period authorized by S. 1505.
Enacting S. 1505 would result in such net federal spending
because the authorized amounts of gross spending are higher
than the amounts of authorized fees for three of the next four
fiscal years. While S. 1505 also authorizes funding for the
current fiscal year, CBO assumes the bill would be enacted too
late in the year to have any impact on 1996 spending.
Enacting S. 1505 would limit the amount that may be
collected in user fees for pipeline safety. Under current law,
these user fees are mandatory and recorded as offsetting
receipts. CBO estimates that fees will total about $30 million
in 1996 and would continue at that level under a simple
extension of current law. Because the bill would set limits on
fees to be collected from 1997 through 1999 at amounts below
$30 million a year, it would reduce offsetting receipts,
thereby causing an increase in direct spending. We estimate
that this increase in direct spending would total $6 million
over the 1997-1999 period. The bill's proposed limitation of
$30 million for fiscal year 2000 is equal to our estimate of
fees under current law for that year.
The remaining $20 million in increased federal outlays is
shown as spending subject to appropriations. This amount
represents authorized increases in spending above the $30
million level that we project would be offset by pipeline
safety fees under current law.
Finally, the bill could also affect revenues by increasing
criminal fines, but CBO estimates that any such increase would
be less than $500,000 a year. If criminal fines are collected,
they would be deposited in the Crime Victims Fund and spent the
following year.
For purposes of this estimate, CBO assumes that the full
amounts authorized to be appropriated for pipeline safety
activities would be appropriated for each fiscal year. Outlay
estimates are based on historical spending rates. The following
table summarizes the estimated budgetary effects of S. 1505.
[By fiscal year, in millions of dollars]
------------------------------------------------------------------------
1997 1998 1999 2000 2001 2002
------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATIONS
Estimated net authorization
\1\.......................... 4 5 5 6 -- --
Estimated net outlays......... 2 4 5 5 3 1
CHANGES IN DIRECT SPENDING AND REVENUES
Direct spending: \2\
Estimated budget authority 3 2 1 -- -- --
Estimated outlays......... 3 2 1 -- -- --
Revenues:
Estimated revenues........ ( \3\
) ( \3\
) ( \3\
) ( \3\
) ( \3\
) ( \3\
)
------------------------------------------------------------------------
\1\ The amounts shown are the differences between the bill's authorized
funding levels for each year and $30 million, which is the estimated
amount of spending that would be offset by fees under a simple
extension of current law.
\2\ The amounts shown are the differences between the bill's authorized
level of fees (from $27 million to $30 million) and CBO's estimate of
fee collections ($30 million) without any such annual limitations.
\3\ Less than $500,000.
The costs of this bill fall within budget function 400.
6. Pay-as-you-go considerations: Section 252 of the
Balanced Budget and Emergency Deficit Control Act of 1985 sets
up pay-as-you-go procedures for legislation affecting direct
spending or receipts through 1998. Because S. 1505 would reduce
offsetting receipts from pipeline safety fees and could
increase penalty collections pay-as-you-go procedures would
apply to the bill. The pay-as-you-go impact of the bill is as
follows:
[By fiscal year, in millions of dollars]
------------------------------------------------------------------------
1996 1997 1998
------------------------------------------------------------------------
Change in outlays............................ 0 3 2
Change in receipts........................... 0 0 0
------------------------------------------------------------------------
7. Estimated impact on State, local, and tribal
governments:
Intergovernmental Mandates. S. 1505 would impose mandates,
as defined by Public Law 104-4, on approximately 1,000 local
governments with municipal gas operations. The bill would
require operators of pipeline facilities to report damage to
the approximately authorities promptly and to include
information on the use of the one-call notification system in
their public education programs. It would also prohibit the
dumping of solid waste within pipeline rights-of-way. Based on
information from the Department of Transportation and the
American Public Gas Association, CBO estimates that the direct
costs of complying with these new requirements would be
negligible and, thus, well below the $50 million annual
threshold established in Public Law 104-4.
Other Impacts on State, Local, and Tribal Governments. The
overall effect of S. 1505 would be to ease requirements on
owners and operators of pipelines and pipeline facilities,
including municipal gas operators. The bill would authorize the
appropriation of approximately $71 million through fiscal year
2000 for the state pipeline safety grant program. The bill
would also give the Secretary of Transportation new authority
to make grants to and enter into cooperative agreements with
state, local, and tribal governments to carry out other
pipeline safety programs, research, risk assessment, and
mapping. In addition, the bill would require the Secretary to
make certain land use recommendations available to state
officials and would provide for states to take over aspects of
some risk management demonstration projects. The bill would
also eliminate the criminal penalties associated with the
establishment of the one-call notification system required of
each state.
8. Estimated impact on the private sector: S. 1505 would
impose new private-sector mandates not exceeding the annual
threshold, as defined in Public Law 104-4. Based on information
provided by the Department of Transportation and industry
representatives, CBO estimates that these provisions would not
substantially affect costs to the private sector.
The damage reporting requirement imposed by section 14 and
the prohibition against dumping in pipeline rights-of-way
imposed by section 18 would impose private-sector mandates with
no direct compliance costs as defined in Public Law 104-4. In
addition, the expansion of the public education programs to
include the use of one-call systems as required by section 11
would impose a new private-sector mandate, with negligible
direct costs. Overall, other sections of S. 1505 would decrease
costs imposed on the private sector.
9. Previous CBO estimate: On May 25, 1995, CBO transmitted
a cost estimate on H.R. 1323, the Pipeline Safety Act of 1995,
as ordered reported by the House Committee on Commerce. In
addition, CBO transmitted a cost estimate on April 7, 1995, on
H.R. 1323, as ordered reported by the House Committee on
Transportation and Infrastructure. The House bills differ from
S. 1505 in that they would not result in any net change in new
federal spending because the pipeline user fees would continue
to be equal to the authorized spending for both versions of
H.R. 1323. In addition, S. 1505 authorizes different levels of
spending than the two versions of H.R. 1323.
10. Estimate prepared by: Federal Cost Estimate--Clare
Doherty and Stephanie Weiner, for revenues; State and local
government impact--Karen McVey; Private sector impact--Amy
Downs.
11. Estimate approved by: Robert A. Sunshine (for Paul N.
Van de Water, Assistant Director for Budget Analysis).
Regulatory Impact Statement
In accordance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee provides the
following evaluation of the regulatory impact of the
legislation, as reported:
S. 1505, as reported, reauthorizes appropriations for
Natural Gas and Hazardous Liquid Pipeline Safety programs and
activities. The bill does not affect existing pipeline safety
standard regulations, but does require OPS to include risk
assessments within future individual rulemakings. The bill also
authorizes OPS to approve plans submitted by operators to
substitute an individually-tailored risk management plan for
existing minimum Federal standards.
The bill will not subject any individuals or businesses
affected by the bill to additional regulation and will not
increase the paperwork requirement for such individuals or
businesses. This legislation also has no impact on the personal
privacy of individuals.
Section-by-Section Analysis
Section 1. Short title
Section 1 cites the short title of the bill as the
``Accountable Pipeline Safety and Partnership Act of 1996.''
Section 2. References
Section 2 provides that amendments and references in the
bill are to sections and provisions in Title 49, U.S. Code.
Section 3. Definitions
The definitions of ``transporting natural gas'' and
``gathering line'' are changed to reflect the law prior to the
1994 recodification. The terms ``risk management'', ``risk
management plan'', and ``Secretary'' are defined. Section 3
also provides that the Secretary shall define ``regulated
gathering line'', but only if it is appropriate to do so.
Section 4. General authority
Section 4 (a) applies minimum safety standards to owners
and operators of pipeline facilities and requires that
operators of facilities must be qualified, but not certified,
and must be able to recognize and react appropriately to
abnormal operating conditions that may indicate dangerous
situations or conditions exceeding design limits.
Section 4(b) broadens section 60102 to require the
performance of risk assessments and cost-benefit analyses when
prescribing new minimum safety standards under sections 60101
(b) [gathering lines], 60103 [liquefied natural gas pipeline
facility standards], 60108 [inspection and maintenance], 60109
[high-density population areas and environmentally sensitive
areas], 60110 [excess flow valves], or 60113 [customer-owned
natural gas service lines]. The section also requires the
Secretary to consider public comments, as well as the comments
and recommendations of the Technical Committees, when
prescribing new standards.
Section 4 (b) also requires the risk assessments to
identify regulatory and nonregulatory options the Secretary
considered, identify the costs and benefits associated with the
proposed standard, and include an explanation of the reasons
for selecting one option over others identified. Section 4(b)
further requires the Secretary to submit risk assessment
information for review to one or both of the Technical
Committees, as appropriate. The submitted risk assessment
information shall be available to the public. The Secretary
must provide a written response to all significant peer review
comments and recommended alternatives, and may revise the risk
assessment and the proposed standard before promulgating the
final standard.
Section 4(b) provides that except where otherwise required
by statute, the Secretary can propose or issue standards only
upon a reasoned determination that the benefits of the intended
standard justify its costs.
Section 4(b) provides exemptions from the risk assessment
provisions. The exemptions cover a standard that is the product
of a negotiated rulemaking, or other rulemaking including the
adoption of industry standards that receives no significant
adverse comment within 60 days of the Federal Register notice.
Risk assessment requirements also do not apply when the
Secretary waives the requirement based on a recommendation of
three-fourths of the members of one or both of the Technical
Committees, as applicable. Finally, the risk assessment
provisions do not apply when the Secretary finds, pursuant to
section 553(b)(3)(B) of title 5, U.S. Code, that notice and
public comment procedures are not required.
Section 4(b) requires the Secretary to send a report to
Congress on the application of the bill's provisions and how
their application improved regulatory decision making. The
report is to be submitted no later than March 31, 2000.
Section 4(c) makes technical changes to facility operation
information standards. Section 4(d) moves the authority for the
Secretary to collect information regarding gathering facilities
to section 60117 of title 49, U.S. Code, for better conformity
in the pipeline safety law. Section 4(e) amends section
60102(e) to return the statutory language on instrumented
internal inspection devices to the original language that
existed prior to the 1994 recodification. Section 4(f) adds a
new section 60102(l) to direct the Secretary to update
incorporated industry standards, as appropriate.
Section 5. Risk management
Section 5 adds a new section 60126 to title 49, U.S. Code,
to authorize risk management demonstration projects. In
carrying out a risk management demonstration project, the
Secretary shall invite owners and operators of pipelines to
submit pipeline safety plans tailored to a particular pipeline
or segment of pipeline. The bill requires that the plans
achieve an equivalent or greater level of safety than would
otherwise be achieved through compliance with existing
standards. Under the bill, the Secretary by order may exempt
participating pipelines from the applicability of some or all
standards that would otherwise apply, and shall exempt them
from any new standard promulgated during participation in the
demonstration project. The Committee does not intend for the
risk management plans to be utilized to avoid compliance, but
rather the plans should be used to maintain and improve safety
in a more effective and efficient manner. The bill allows the
Secretary to revoke any exemption granted for noncompliance
with the terms and conditions of a risk management plan
approved by order. Nothing in S. 1505 diminishes or modifies
the Secretary's authority to act in case of an emergency.
The section also allows the Secretary to provide for
consultation by a State that has a state certification (under
section 60105) in effect. Under the bill language, the
Secretary can make an arrangement with a section 60105
certificated state, to the extent that the project comprises an
intrastate natural gas pipeline or an intrastate hazardous
liquid pipeline facility, to carry out the duties of the
Secretary for approval and administration of the project. The
section requires the Secretary to submit a report to Congress
evaluating the risk management demonstration projects and
recommending whether they should be made permanent. The report
must be submitted no later than March 31, 2000.
Section 6. Inspection and maintenance
This section strikes the requirement in section 60108 of
title 49, U.S. Code, that the Secretary inspect, every two
years, the inspection and maintenance plans each pipeline
operator is required to maintain. Instead, the Secretary may
determine the frequency of inspections. This section also
clarifies that ``waters'' where underwater pipelines are
subject to inspections means areas where a substantial
likelihood of commercial navigation exists.
Section 7. High-density population areas and environmentally sensitive
areas
Section 7(a) makes the same clarifying change regarding
``waters'' as in Section 6 above. Section 7(b) provides clearer
guidance to the Secretary in describing areas of unusual
environmental sensitivity. It makes clear that the Secretary
should focus on areas in which permanent or long-term
environmental damage is likely and provides a list of more
comprehensive, but not exclusive, factors to consider.
Section 8. Excess flow valves
Section 8 makes several changes in section 60110 of title
49, U.S. Code. Section 8(1) restores the words ``if any'' which
were inadvertently deleted during the 1994 recodification. The
section also contains provisions providing that the
notification from natural gas operators to customers having
lines in which excess flow valves are not required, but can be
installed, shall include the costs associated with maintenance
and replacement as well as the costs of installation. The
section also provides that the Secretary may adopt industry
accepted performance standards for excess flow valves.
Section 9. Customer-owned natural gas service lines
This section removes the requirement in section 60113 of
title 49, U.S. Code, that the Secretary take actions to promote
adoption of measures to improve the safety of customer-owned
natural gas service lines.
Section 10. Technical Safety Standards Committees
This section provides that the Technical Committees shall
serve as peer review committees for purposes of all pipeline
safety standards which must undergo risk assessment and peer
review. The membership of the committees is modified so that
each committee is composed of 5 individuals each from
government, industry, and the public, thereby increasing
industry representatives from 4 to 5 and reducing public
representatives from 6 to 5. The section requires that at least
one individual on each committee must have experience in risk
assessment and cost-benefit analysis. All risk assessment
information and other analyses supporting proposed standards
must be submitted to the committees for review. Also, the
section raises the number of meetings that can be held by the
committees from two, to up to four a year.
Section 11. Public education programs
This section makes a technical correction to section 60116.
The section also broadens public education programs carried out
by natural gas owners and operators to include the use of one-
call systems prior to excavation to prevent pipeline damage.
Section 12. Administrative
Section 12(1) retains the Secretary's authority to request
information from gathering line operators. Under the section's
language, the information requested must be pertinent to the
Secretary's ability to determine what additional gathering
lines should be regulated.
Section 12(2) authorizes the Secretary to enter into
grants, cooperative agreements, and other transactions with any
person, agency, State and local government, educational
institution, or other entity. Further, the section permits the
Secretary to provide funding to one-call programs not operated
by States.
Section 13. Compliance
This section allows the Secretary to issue orders directing
compliance with applicable safety standards, with an order
issued under section 60126 [the Risk Management Demonstration
Projects] or with a prescribed regulation. The order issued
under this section must state clearly the action a person must
take to comply.
Section 14. Damage reporting
This section makes it a federal crime to knowingly and
willfully damage a pipeline facility and not promptly report
the damage to the pipeline operator and other appropriate
authorities.
Section 15. Biennial reports
This section requires reports every two years to Congress
whereas existing law (section 60124) mandates that an annual
report be submitted.
Section 16. Population encroachment
This section requires the Secretary to make available to
State pipeline officials the land use recommendations from the
Transportation Research Board's special report entitled
``Pipelines and Public Safety.'' This section also directs the
Secretary to evaluate those recommendations, determine to what
extent they are being implemented, consider ways to improve
their implementation and consider other initiatives to improve
the awareness of local planning and zoning entities regarding
population encroachment in proximity to rights-of-way of
interstate pipeline facilities.
Section 17. User fees
This section requires the Secretary to analyze whether the
current methodology for allocating user fees among pipelines is
an accurate measure of the resources used to regulate pipeline
safety. This provision is intended to ensure that fees charged
are proportional to services rendered. The section requires the
Secretary, in preparing the report, to consider a wide range of
assessment factors and suggestions and comments from the
public.
Section 18. Dumping within pipeline rights-of-way
This section prohibits unauthorized dumping in pipeline
rights-of-way. This section also allows the Secretary to seek
the civil or criminal penalties that are already provided for
in the pipeline safety law for rights-of-way unauthorized
dumping.
Section 19. Prevention of damage to pipeline facilities
This section allows the Secretary to undertake promotional
activities that help prevent damage to pipeline facilities.
Section 20. Technical corrections
Various technical corrections to sections of Chapter 601 of
title 49 are made by this section.
Section 21. Authorization of appropriations
Gas and hazardous liquid activities are authorized at the
following levels and in the following manner:
$19,448,000 for fiscal year 1996.
$20,028,000 for fiscal year 1997, of which
$14,600,000 is to be derived from user fees
collected for fiscal year 1997.
$20,729,000 for fiscal year 1998, of which
$15,100,000 is to be derived from user fees
collected for fiscal year 1998.
$21,442,000 for fiscal year 1999, of which
$15,700,000 is to be derived from user fees
collected for fiscal year 1999.
$22,194,000 for fiscal year 2000, of which
$16,300,000 is to be derived from user fees
collected for fiscal year 2000.
Pipeline State Safety Grants are authorized at the following
levels and in the following manner:
$12,000,000 for fiscal year 1996.
$14,000,000 for fiscal year 1997, of which
$12,500,000 is to be derived from user fees
collected for fiscal year 1997.
$14,490,000 for fiscal year 1998, of which
$12,900,000 is to be derived from user fees
collected for fiscal year 1998.
$15,000,000 for fiscal year 1999, of which
$13,300,000 is to be derived from user fees
collected for fiscal year 1999.
$15,524,000 for fiscal year 2000, of which
$13,700,000 is to be derived from user fees
collected for fiscal year 2000.
The Committee by this section expects the total new user fee
collections for the pipeline activities authorized under
section 21 will be limited to $27,100,000 in fiscal year 1997,
$28,000,000 in fiscal year 1998, $29,000,000 in fiscal year
1999, and $30,000,000 in fiscal year 2000. The Committee
further intends that the differences between the funds
authorized and the new user fee collections authorized will
come from sources other than new user fee collections. These
sources include a planned and reasonable draw down of the user
fees collected during fiscal year 1985 and 1987 and currently
held in reserve. Another source is additional funding from the
Oil Spill Liability Trust Fund which covers OPS
responsibilities under the Oil Pollution Act.
Changes in Existing Law
In compliance with paragraph 12 of rule XXVI of the Standing
Rules of the Senate, changes in existing law made by the bill,
as reported, are shown as follows (existing law proposed to be
omitted is enclosed in black brackets, new material is printed
in italic, existing law in which no change is proposed is shown
in roman):
Sec. 60101. Definitions
(a) In this chapter [49 U.S.C. 60101 et seq.]--
(1) ``existing liquefied natural gas facility''--
(A) means a liquefied natural gas facility
for which an application to approve the site,
construction, or operation of the facility was
filed before March 1, 1978, with--
(i) the Federal Energy Regulatory
Commission (or any predecessor); or
(ii) the appropriate State or local
authority, if the facility is not
subject to the jurisdiction of the
Commission under the Natural Gas Act
(15 U.S.C. 717 et seq.); but
(B) does not include a facility on which
construction is begun after November 29, 1979,
without the [approval.] approval;
(2) ``gas'' means natural gas, flammable gas, or
toxic or corrosive [gas.] gas;
(3) ``gas pipeline facility'' includes a pipeline, a
right of way, a facility, a building, or equipment used
in transporting gas or treating gas during its
[transportation.] transportation;
(4) ``hazardous liquid'' means--
(A) petroleum or a petroleum product; and
(B) a substance the Secretary of
Transportation decides may pose an unreasonable
risk to life or property when transported by a
hazardous liquid pipeline facility in a liquid
state (except for liquefied natural [gas).]
gas);
(5) ``hazardous liquid pipeline facility'' includes a
pipeline, a right of way, a facility, a building, or
equipment used or intended to be used in transporting
hazardous [liquid.] liquid;
(6) ``interstate gas pipeline facility''--
(A) means a gas pipeline facility--
(i) used to transport gas; and
(ii) subject to the jurisdiction of
the Commission under the Natural Gas
Act (15 U.S.C. 717 et seq.); but
(B) does not include a gas pipeline facility
transporting gas from an interstate gas
pipeline in a State to a direct sales customer
in that State buying gas for its own
[consumption.] consumption;
(7) ``interstate hazardous liquid pipeline facility''
means a hazardous liquid pipeline facility used to
transport hazardous liquid in interstate or foreign
[commerce.] commerce;
(8) ``interstate or foreign commerce''--
(A) related to gas, means commerce--
(i) between a place in a State and a
place outside that State; or
(ii) that affects any commerce
described in subclause (A)(i) of this
clause; and
(B) related to hazardous liquid, means
commerce between--
(i) a place in a State and a place
outside that State; or
(ii) places in the same State through
a place outside the [State.] State;
(9) ``intrastate gas pipeline facility'' means--
(A) a gas pipeline facility and
transportation of gas within a State not
subject to the jurisdiction of the Commission
under the Natural Gas Act (15 U.S.C. 717 et
seq.); and
(B) a gas pipeline facility transporting gas
from an interstate gas pipeline in a State to a
direct sales customer in that State buying gas
for its own [consumption.] consumption;
(10) ``intrastate hazardous liquid pipeline
facility'' means a hazardous liquid pipeline facility
that is not an interstate hazardous liquid pipeline
[facility.] facility;
(11) ``liquefied natural gas'' means natural gas in a
liquid or semisolid [state.] state;
(12) ``liquefied natural gas accident'' means a
release, burning, or explosion of liquefied natural gas
from any cause, except a release, burning, or explosion
that, under regulations prescribed by the Secretary,
does not pose a threat to public health or safety,
property, or the [environment.] environment;
(13) ``liquefied natural gas conversion'' means
conversion of natural gas into liquefied natural gas or
conversion of liquefied natural gas into natural [gas.]
gas;
(14) ``liquefied natural gas pipeline facility''--
(A) means a gas pipeline facility used for
transporting or storing liquefied natural gas,
or for liquefied natural gas conversion, in
interstate or foreign commerce; but
(B) does not include any part of a structure
or equipment located in navigable waters (as
defined in section 3 of the Federal Power [Act
(16 U.S.C. 796)).] Act (16 U.S.C. 796));
(15) ``municipality'' means a political subdivision
of a [State.] State;
(16) ``new liquefied natural gas pipeline facility''
means a liquefied natural gas pipeline facility except
an existing liquefied natural gas pipeline [facility.]
facility;
(17) ``person'', in addition to its meaning under
section 1 of title 1 [1 U.S.C. 1] (except as to
societies), includes a State, a municipality, and a
trustee, receiver, assignee, or personal representative
of a [person.] person;
(18) ``pipeline facility'' means a gas pipeline
facility and a hazardous liquid pipeline [facility.]
facility;
(19) ``pipeline transportation'' means transporting
gas and transporting hazardous [liquid.] liquid;
(20) ``State'' means a State of the United States,
the District of Columbia, and Puerto [Rico.] Rico;
(21) ``transporting gas''--
(A) means--
(i) the gathering, transmission, or
distribution of gas by pipeline, or the
storage of gas, in interstate or
foreign commerce; and
(ii) the movement of gas through
regulated gathering lines; but
[(B) does not include gathering gas (except
through regulated gathering lines) in a rural
area outside a populated area designated by the
Secretary as a nonrural area.]
(B) does not include the gathering of gas,
other than gathering through regulated
gathering lines, in those rural locations that
are located outside the limits of any
incorporated or unincorporated city, town, or
village, or any other designated residential or
commercial area (including a subdivision,
business, shopping center, or community
development) or any similar populated area that
the Secretary of Transportation determines to
be a nonrural area, except that the term
``transporting gas'' includes the movement of
gas through regulated gathering lines;
(22) ``transporting hazardous liquid''--
(A) means--
(i) the movement of hazardous liquid
by pipeline, or the storage of
hazardous liquid incidental to the
movement of hazardous liquid by
pipeline, in or affecting interstate or
foreign commerce; and
(ii) the movement of hazardous liquid
through regulated gathering lines; but
(B) does not include moving hazardous liquid
through--
(i) gathering lines (except regulated
gathering lines) in a rural area;
(ii) onshore production, refining, or
manufacturing facilities; or
(iii) storage or in-plant piping
systems associated with onshore
production, refining, or manufacturing
[facilities.] facilities;
(23) ``risk management'' means the systematic
application, by the owner or operator of a pipeline
facility, of management policies, procedures, finite
resources, and practices to the tasks of identifying,
analyzing, assessing, reducing, and controlling risk in
order to protect employees, the general public, the
environment, and pipeline facilities;
(24) ``risk management plan'' means a management plan
utilized by a gas or hazardous liquid pipeline facility
owner or operator that encompasses risk management; and
(25) ``Secretary'' means the Secretary of
Transportation.
(b) Gathering Lines.--
(1)(A) Not later than October 24, 1994, the Secretary
shall [define by regulation] prescribe standards
defining the term ``gathering line''.
(B) In defining ``gathering line'' for gas, the
Secretary--
(i) shall consider functional and operational
characteristics of the lines to be included in
the definition; and
(ii) is not bound by a classification the
Commission establishes under the Natural Gas
Act (15 U.S.C. 717 et seq.).
(2)(A) Not later than October 24, 1995, the
[Secretary] Secretary, if appropriate, shall [define by
regulation] prescribe standards defining the term
``regulated gathering line''. In defining the term, the
Secretary shall consider factors such as location,
length of line from the well site, operating pressure,
throughput, and the composition of the transported gas
or hazardous liquid, as appropriate, in deciding on the
types of lines that functionally are gathering but
should be regulated under this chapter [49 U.S.C. 60101
et seq.] because of specific physical characteristics.
(B)(i) The Secretary also shall consider diameter
when defining ``regulated gathering line'' for
hazardous liquid.
(ii) The definition of ``regulated gathering line''
for hazardous liquid may not include a crude oil
gathering line that has a nominal diameter of not more
than 6 inches, is operated at low pressure, and is
located in a rural area that is not unusually sensitive
to environmental damage.
Sec. 60102. General authority
(a)(1) Minimum safety standards. The Secretary of
Transportation shall prescribe minimum safety standards for
pipeline transportation and for pipeline facilities. The
standards--
(A) apply to [transporters of gas and hazardous
liquid and to] owners and operators of pipeline
facilities;
(B) may apply to the design, installation,
inspection, emergency plans and procedures, testing,
construction, extension, operation, replacement, and
maintenance of pipeline facilities; and
[(C) shall include a requirement that all individuals
responsible for the operation and maintenance of
pipeline facilities be tested for qualifications and
certified to operate and maintain those facilities.]
(C) shall include a requirement that all individuals
who operate and maintain pipeline facilities shall be
qualified to operate and maintain the pipeline
facilities.
[(2) As the Secretary considers appropriate, the operator
of a pipeline facility may make the certification under
paragraph (1)(C) of this subsection. Testing and certification
under paragraph (1)(C) shall address the ability to recognize
and react appropriately to abnormal operating conditions that
may indicate a dangerous situation or a condition exceeding
design limits.]
(2) The qualifications applicable to an individual who
operates and maintains a pipeline facility shall address the
ability to recognize and react appropriately to abnormal
operating conditions that may indicate a dangerous situation or
a condition exceeding design limits. The operator of a pipeline
facility shall ensure that employees who operate and maintain
the facility are qualified to operate and maintain the pipeline
facilities.
[(b) Practicability and Safety Needs Standards.--
[A standard prescribed under subsection (a) of this section
shall be practicable and designed to meet the need for gas
pipeline safety, for safely transporting hazardous liquid, and
for protecting the environment. Except as provided in section
60103 of this title, when prescribing the standard the
Secretary shall consider--
[(1) relevant available--
[(A) gas pipeline safety information; or
[(B) hazardous liquid pipeline information;
[(2) the appropriateness of the standard for the
particular type of pipeline transportation or facility;
[(3) the reasonableness of the standard; and
[(4) the extent to which the standard will contribute
to public safety and the protection of the
environment.]
(b) Practicability and Safety Needs Standards.--
(1) In general.--A standard prescribed under
subsection (a) shall be--
(A) practicable; and
(B) designed to meet the need for
(i) gas pipeline safety, or safely
transporting hazardous liquids, as
appropriate; and
(ii) protecting the environment.
(2) Factors for consideration.--When prescribing any
standard under this section or section 60101(b), 60103,
60108, 60109, 60110, or 60113, the Secretary shall
consider--
(A) relevant available--
(i) gas pipeline safety information;
(ii) hazardous liquid pipeline safety
information; and
(iii) environmental information;
(B) the appropriateness of the standard for
the particular type of pipeline transportation
or facility;
(C) the reasonableness of the standard;
(D) based on a risk assessment, the
reasonably identifiable or estimated benefits
expected to result from implementation or
compliance with the standard;
(E) based on a risk assessment, the
reasonably identifiable or estimated costs
expected to result from implementation or
compliance with the standard;
(F) comments and information received from
the public; and
(G) the comments and recommendations of the
Technical Pipeline Safety Standards Committee,
the Technical Hazardous Liquid Pipeline Safety
Standards Committee, or both, as appropriate.
(3) Risk assessment.--In prescribing a standard
referred to in paragraph (2), the Secretary shall--
(A) identify the regulatory and nonregulatory
options that the Secretary considered in
prescribing a proposed standard;
(B) identify the costs and benefits
associated with the proposed standard;
(C) include--
(i) an explanation of the reasons for
the selection of the proposed standard
in lieu of the other options
identified; and
(ii) with respect to each of those
other options, a brief explanation of
the reasons that the Secretary did not
select the option; and
(D) identify technical data or other
information upon which the risk assessment
information and proposed standard is based.
(4) Review.--
(A) In general.--The Secretary shall--
(i) submit risk assessment
information prepared under paragraph
(3) of this subsection to the Technical
Pipeline Safety Standards Committee,
the Technical Hazardous Liquid Pipeline
Safety Standards Committee, or both, as
appropriate; and
(ii) make that risk assessment
information available to the general
public.
(B) Peer review panels.--The committees
referred to in subparagraph (A) shall serve as
peer review panels to review risk assessment
information prepared under this section. Not
later than 90 days after receiving risk
assessment information for review pursuant to
subparagraph (A), each committee that receives
that risk assessment information shall prepare
and submit to the Secretary a report that
includes--
(i) an evaluation of the merit of the
data and methods used; and
(ii) any recommended options relating
to that risk assessment information and
the associated standard that the
committee determines to be appropriate.
(C) Review by Secretary.--Not later than 90
days after receiving a report submitted by a
committee under subparagraph (B), the
Secretary--
(i) shall review the report;
(ii) shall provide a written response
to the committee that is the author of
the report concerning all significant
peer review comments and recommended
alternatives contained in the report;
and
(iii) may revise the risk assessment
and the proposed standard before
promulgating the final standard.
(5) Secretarial decisionmaking.--Except where
otherwise required by statute, the Secretary shall
propose or issue a standard under this Chapter only
upon a reasoned determination that the benefits of the
intended standard justify its costs.
(6) Exceptions from application.--The requirements of
this subsection do not apply when--
(A) the standard is the product of a
negotiated rulemaking, or other rulemaking
including the adoption of industry standards
that receives no significant adverse comment
within 60 days of notice in the Federal
Register;
(B) based on a recommendation (in which
three-fourths of the members voting concur) by
the Technical Pipeline Safety Standards
Committee, the Technical Hazardous Liquid
Pipeline Safety Standards Committee, or both,
as applicable, the Secretary waives the
requirements; or
(C) the Secretary finds, pursuant to section
553 (b)(3)(B) of title 5, United States Code,
that notice and public procedure are not
required.
(7) Report.--Not later than March 31, 2000, the
Secretary shall transmit to the Congress a report
that--
(A) describes the implementation of the risk
assessment requirements of this section,
including the extent to which those
requirements have improved regulatory decision
making; and
(B) includes any recommendations that the
Secretary determines would make the risk
assessment process conducted pursuant to the
requirements under this chapter a more
effective means of assessing the benefits and
costs associated with alternative regulatory
and nonregulatory options in prescribing
standards under the Federal pipeline safety
regulatory program under this chapter.
(c) Public Safety Program Requirements.--
(1) The Secretary shall include in the standards
prescribed under subsection (a) of this section a
requirement that an operator of a gas pipeline facility
participate in a public safety program that--
(A) notifies an operator of proposed
demolition, excavation, tunneling, or
construction near or affecting the facility;
(B) requires an operator to identify a
pipeline facility that may be affected by the
proposed demolition, excavation, tunneling, or
construction, to prevent damaging the facility;
and
(C) the Secretary decides will protect a
facility adequately against a hazard caused by
demolition, excavation, tunneling, or
construction.
(2) To the extent a public safety program referred to
in paragraph (1) of this subsection is not available,
the Secretary shall prescribe standards requiring an
operator to take action the Secretary prescribes to
provide services comparable to services that would be
available under a public safety program.
(3) The Secretary may include in the standards
prescribed under subsection (a) of this section a
requirement that an operator of a hazardous liquid
pipeline facility participate in a public safety
program meeting the requirements of paragraph (1) of
this subsection or maintain and carry out a damage
prevention program that provides services comparable to
services that would be available under a public safety
program.
(d) Facility Operation Information Standards.--The Secretary
shall prescribe minimum standards requiring an operator of a
pipeline facility subject to this chapter [49 U.S.C. 60101 et
seq.] to maintain, to the extent practicable, information
related to operating the facility as required by the standards
prescribed under this chapter and, when requested, [to provide
the information] to make the information available to the
Secretary and an appropriate State official as determined by
the Secretary. The information shall include--
(1) the business name, address, and telephone number,
including an operations emergency telephone number, of
the operator;
(2) accurate maps and a supplementary geographic
description, including an identification of areas
described in regulations prescribed under section 60109
of this title, that show the location in the State of--
(A) major gas pipeline facilities of the
operator, including transmission lines and
significant distribution lines; and
(B) major hazardous liquid pipeline
facilities of the operator;
(3) a description of--
(A) the characteristics of the operator's
pipelines in the State; and
(B) products transported through the
operator's pipelines in the State;
(4) the manual that governs operating and maintaining
pipeline facilities in the State;
(5) an emergency response plan describing the
operator's procedures for responding to and containing
releases, including--
(A) identifying specific action the operator
will take on discovering a release;
(B) liaison procedures with State and local
authorities for emergency response; and
(C) communication and alert procedures for
immediately notifying State and local officials
at the time of a release; and
(6) other information the Secretary considers useful
to inform a State of the presence of pipeline
facilities and operations in the State.
(e) Pipe Inventory Standards.--The Secretary shall
prescribe minimum standards requiring an operator of a pipeline
facility subject to this chapter [49 U.S.C. 60101 et seq.]
[and, to the extent the Secretary considers necessary, an
operator of a gathering line that is not a regulated gathering
line (as defined under section 60101(b)(2) of this title),] to
maintain for the Secretary, to the extent practicable, an
inventory with appropriate information about the types of pipe
used for the transmission of gas or hazardous liquid, as
appropriate, in the operator's system and additional
information, including the material's history and the leak
history of the pipe. The inventory--
(1) for a gas pipeline facility, shall include an
identification of each facility passing through an area
described in regulations prescribed under section 60109
of this title but shall exclude equipment used with the
compression of gas; and
(2) for a hazardous liquid pipeline facility, shall
include an identification of each facility and
gathering line passing through an area described in
regulations prescribed under section 60109 of this
title, whether the facility or gathering line otherwise
is subject to this chapter [49 U.S.C. 60101 et seq.],
but shall exclude equipment associated only with the
pipeline pumps or storage facilities.
(f) Standards as Accommodating ``Smart Pigs''.--
[(1) The Secretary shall prescribe minimum safety
standards requiring that the design and construction of
a new gas pipeline transmission facility or hazardous
liquid pipeline facility, and the required replacement
of an existing gas pipeline transmission facility,
hazardous liquid pipeline facility, or equipment, be
carried out, to the extent practicable, in a way that
accommodates the passage through the facility of an
instrumented internal inspection device (commonly
referred to as a ``smart pig''). The Secretary may
apply the standard to an existing gas or hazardous
liquid transmission facility and require the facility
to be changed to allow the facility to be inspected
with an instrumented internal inspection device if the
basic construction of the facility will accommodate the
device.]
``(1) Minimum safety standards.--The Secretary shall
prescribe minimum safety standards requiring that --
``(A) the design and construction of new
natural gas transmission pipeline or hazardous
liquid pipeline facilities, and
(B) when the replacement of existing natural
gas transmission pipeline or hazardous liquid
pipeline facilities or equipment is required,
the replacement of such existing facilities, be
carried out, to the extent practicable, in a
manner so as to accommodate the passage through
such natural gas transmission pipeline or
hazardous liquid pipeline facilities of
instrumented internal inspection devices
(commonly referred to as ``smart pigs''). The
Secretary may extend such standards to require
existing natural gas transmission pipeline or
hazardous liquid pipeline facilities, whose
basic construction would accommodate an
instrumented internal inspection device to be
modified to permit the inspection of such
facilities with instrumented internal
inspection devices.
[(2) Not later than] (2) Periodic inspections._Not
later than October 24, 1995, the Secretary shall
[prescribe] prescribe, if necessary, additional
[regulations] standards requiring the periodic
inspection of each pipeline the operator of the
pipeline identifies under section 60109 of this title.
The [regulations] standards shall include any
circumstances under which an inspection shall be
conducted with an instrumented internal inspection
device and, if the device is not required, use of an
inspection method that is at least as effective as
using the device in providing for the safety of the
pipeline.
(g) Effective Dates.--A standard prescribed under this
section and section 60110 of this title is effective on the
30th day after the Secretary prescribes the standard. However,
the Secretary for good cause may prescribe a different
effective date when required because of the time reasonably
necessary to comply with the standard. The different date must
be specified in the regulation prescribing the standard.
(h) Safety Condition Reports.--
(1) The Secretary shall prescribe regulations
requiring each operator of a pipeline facility (except
a master meter) to submit to the Secretary a written
report on any--
(A) condition that is a hazard to life,
property, or the environment; and
(B) safety-related condition that causes or
has caused a significant change or restriction
in the operation of a pipeline facility.
(2) The Secretary must receive the report not later
than 5 working days after a representative of a person
to which this section applies first establishes that
the condition exists. Notice of the condition shall be
given concurrently to appropriate State authorities.
(i) Carbon Dioxide Regulation.--The Secretary shall
regulate carbon dioxide transported by a hazardous liquid
pipeline facility. The Secretary shall prescribe [regulations]
standards related to hazardous liquid to ensure the safe
transportation of carbon dioxide by such a facility.
(j) Emergency Flow Restricting Devices.--
(1) Not later than October 24, 1994, the Secretary
shall survey and assess the effectiveness of emergency
flow restricting devices (including remotely controlled
valves and check valves) and other procedures, systems,
and equipment used to detect and locate hazardous
liquid pipeline ruptures and minimize product releases
from hazardous liquid pipeline facilities.
(2) Not later than 2 years after the survey and
assessment are completed, the Secretary shall prescribe
[regulations] standards on the circumstances under
which an operator of a hazardous liquid pipeline
facility must use an emergency flow restricting device
or other procedure, system, or equipment described in
paragraph (1) of this subsection on the facility.
(k) Prohibition Against Low Internal Stress Exception.--The
Secretary may not provide an exception to this chapter [49
U.S.C. 60101 et seq.] for a hazardous liquid pipeline facility
only because the facility operates at low internal stress.
(l) Updating Standards.--The Secretary shall, to the extent
appropriate and practicable, update incorporated industry
standards that have been adopted as part of the Federal
pipeline safety regulatory program under this chapter.
Sec. 60105. State pipeline safety program certifications
(a) General Requirements and Submission.--Except as
provided in this section and sections 60114 and 60121 of this
title, the Secretary of Transportation may not prescribe or
enforce safety standards and practices for an intrastate
pipeline facility or intrastate pipeline transportation to the
extent that the safety standards and practices are regulated by
a State authority (including a municipality if the standards
and practices apply to intrastate gas pipeline transportation)
that submits to the Secretary annually a certification for the
facilities and transportation that complies with subsections
(b) and (c) of this section.
(b) Contents.--Each certification submitted under
subsection (a) of this section shall state that the State
authority--
(1) has regulatory jurisdiction over the standards
and practices to which the certification applies;
(2) has adopted, by the date of certification, each
applicable standard prescribed under this chapter [49
U.S.C. 60101 et seq.] or, if a standard under this
chapter [49 U.S.C. 60101 et seq.] was prescribed not
later than 120 days before certification, is taking
steps to adopt that standard;
(3) is enforcing each adopted standard through ways
that include inspections conducted by State employees
meeting the qualifications the Secretary prescribes
under section 60107(d)(1)(C) of this title;
(4) is encouraging and promoting programs designed to
prevent damage by demolition, excavation, tunneling, or
construction activity to the pipeline facilities to
which the certification applies;
(5) may require record maintenance, reporting, and
inspection substantially the same as provided under
section 60117 of this title;
(6) may require that plans for inspection and
maintenance under section 60108 (a) and (b) of this
title be filed for approval; and
(7) may enforce safety standards of the authority
under a law of the State by injunctive relief and civil
penalties substantially the same as provided under
sections 60120 and 60122(a)(1) and (b)-(f) of this
title.
(c) Reports.--
(1) Each certification submitted under subsection (a)
of this section shall include a report that contains--
(A) the name and address of each person to
whom the certification applies that is subject
to the safety jurisdiction of the State
authority;
(B) each accident or incident reported during
the prior 12 months by that person involving a
fatality, personal injury requiring
hospitalization, or property damage or loss of
more than an amount the Secretary establishes
(even if the person sustaining the fatality,
personal injury, or property damage or loss is
not subject to the safety jurisdiction of the
authority), any other accident the authority
considers significant, and a summary of the
investigation by the authority of the cause and
circumstances surrounding the accident or
incident;
(C) the record maintenance, reporting, and
inspection practices conducted by the authority
to enforce compliance with safety standards
prescribed under this chapter [49 U.S.C. 60101
et seq.] to which the certification applies,
including the number of inspections of pipeline
facilities the authority made during the prior
12 months; and
(D) any other information the Secretary
requires.
(2) The report included in the first certification
submitted under subsection (a) of this section is only
required to state information available at the time of
certification.
(d) Application.--A certification in effect under this
section does not apply to safety standards prescribed under
this chapter [49 U.S.C. 60101 et seq.] after the date of
certification. This chapter [49 U.S.C. 60101 et seq.] applies
to each applicable safety standard prescribed after the date of
certification until the State authority adopts the standard and
submits the appropriate certification to the Secretary under
subsection (a) of this section.
(e) Monitoring.--The Secretary may monitor a safety program
established under this section to ensure that the program
complies with the certification. A State authority shall
cooperate with the Secretary under this subsection.
(f) Rejections of Certification.--If after receiving a
certification the Secretary decides the State authority is not
enforcing satisfactorily compliance with applicable safety
standards prescribed under this chapter [49 U.S.C. 60101 et
seq.], the Secretary may reject the certification, assert
United States Government jurisdiction, or take other
appropriate action to achieve adequate enforcement. The
Secretary shall give the authority notice and an opportunity
for a hearing before taking final action under this subsection.
When notice is given, the burden of proof is on the authority
to demonstrate that it is enforcing satisfactorily compliance
with the prescribed standards.
Sec. 60106. State pipeline safety agreements
(a) General Authority.--If the Secretary of Transportation
does not receive a certification under section 60105 of this
title, the Secretary may make an agreement with a State
authority (including a municipality if the agreement applies to
intrastate gas pipeline transportation) authorizing it to take
necessary action. Each agreement shall--
(1) establish an adequate program for record
maintenance, reporting, and inspection designed to
assist compliance with applicable safety standards
prescribed under this chapter [49 U.S.C. 60101 et
seq.]; and
(2) prescribe procedures for approval of plans of
inspection and maintenance substantially the same as
required under section 60108 (a) and (b) of this title.
(b) Notification.--Each agreement shall require the State
authority to notify the Secretary promptly of a violation or
probable violation of an applicable safety standard discovered
as a result of action taken in carrying out an agreement under
this section.
(c) Monitoring.--The Secretary may monitor a safety program
established under this section to ensure that the program
complies with the agreement. A State authority shall cooperate
with the Secretary under this subsection.
(d) Ending Agreements.--The Secretary may end an agreement
made under this section when the Secretary finds that the State
authority has not complied with any provision of the agreement.
The Secretary shall give the authority notice and an
opportunity for a hearing before ending an agreement. The
finding and decision to end the agreement shall be published in
the Federal Register and may not become effective for at least
15 days after the date of publication.
Sec. 60107. State pipeline safety grants
(a) General Authority.--If a State authority files an
application not later than September 30 of a calendar year, the
Secretary of Transportation shall pay not more than 50 percent
of the cost of the personnel, equipment, and activities the
authority reasonably requires during the next calendar year--
(1) to carry out a safety program under a
certification under section 60105 of this title or an
agreement under section 60106 of this title; or
(2) to act as an agent of the Secretary on interstate
gas pipeline facilities or interstate hazardous liquid
pipeline facilities.
(b) Payments.--After notifying and consulting with a State
authority, the Secretary may withhold any part of a payment
when the Secretary decides that the authority is not carrying
out satisfactorily a safety program or not acting
satisfactorily as an agent. The Secretary may pay an authority
under this section only when the authority ensures the
Secretary that it will provide the remaining costs of a safety
program and that the total State amount spent for a safety
program (excluding grants of the United States Government) will
at least equal the average amount spent--
(1) for a gas safety program, for the fiscal years
that ended June 30, 1967, and June 30, 1968; and
(2) for a hazardous liquid safety program, for the
fiscal years that ended September 30, 1978, and
September 30, 1979.
(c) Apportionment and Method of Payment.--The Secretary shall
apportion the amount appropriated to carry out this section
among the States. A payment may be made under this section in
installments, in advance, or on a reimbursable basis.
(d) Additional Authority and Considerations.--
(1) The Secretary may prescribe--
(A) the form of, and way of filing, an
application under this section;
(B) reporting and fiscal procedures the
Secretary considers necessary to ensure the
proper accounting of money of the Government;
and
(C) qualifications for a State to meet to
receive a payment under this section, including
qualifications for State employees who perform
inspection activities under section 60105 or
60106 of this title.
(2) The qualifications prescribed under paragraph
(1)(C) of this subsection may--
(A) consider the experience and training of
the employee;
(B) order training or other requirements; and
(C) provide for approval of qualifications on
a conditional basis until specified
requirements are met.
Sec. 60108. Inspection and maintenance
(a) Plans.--
(1) Each person [transporting gas or hazardous liquid
or] owning or operating an intrastate gas pipeline
facility or hazardous liquid pipeline facility shall
carry out a current written plan (including any
changes) for inspection and maintenance of each
facility used in the transportation and owned or
operated by the person. A copy of the plan shall be
kept at any office of the person the Secretary of
Transportation considers appropriate. The Secretary
also may require a person [transporting gas or
hazardous liquid or] owning or operating a pipeline
facility subject to this chapter [49 U.S.C. 60101 et
seq.] to file a plan for inspection and maintenance for
approval.
(2) If the Secretary or a State authority responsible
for enforcing standards prescribed under this chapter
[49 U.S.C. 60101 et seq.] decides that a plan required
under paragraph (1) of this subsection is inadequate
for safe operation, the Secretary or authority shall
require the person to revise the plan. Revision may be
required only after giving notice and an opportunity
for a hearing. A plan required under paragraph (1) must
be practicable and designed to meet the need for
pipeline safety and must include terms designed to
enhance the ability to discover safety-related
conditions described in section 60102(h)(1) of this
title. In deciding on the adequacy of a plan, the
Secretary or authority shall consider--
(A) relevant available pipeline safety
information;
(B) the appropriateness of the plan for the
particular kind of pipeline transportation or
facility;
(C) the reasonableness of the plan; and
(D) the extent to which the plan will
contribute to public safety and the protection
of the environment.
(3) A plan required under this subsection shall be
made available to the Secretary or State authority on
request under section 60117 of this title.
(b) Inspection and Testing.--
(1) The Secretary shall inspect and require
appropriate testing of a pipeline facility subject to
this chapter [49 U.S.C. 60101 et seq.] that is not
covered by a certification under section 60105 of this
title or an agreement under section 60106 of this
title. The Secretary shall decide on the frequency and
type of inspection and testing under this subsection on
a case-by-case basis after considering the following:
(A) the location of the pipeline facility.
(B) the type, size, age, manufacturer, method
of construction, and condition of the pipeline
facility.
(C) the nature and volume of material
transported through the pipeline facility.
(D) the pressure at which that material is
transported.
(E) climatic, geologic, and seismic
characteristics (including soil
characteristics) and conditions of the area in
which the pipeline facility is located.
(F) existing and projected population and
demographic characteristics of the area in
which the pipeline facility is located.
(G) for a hazardous liquid pipeline facility,
the proximity of the area in which the facility
is located to an area that is unusually
sensitive to environmental damage.
(H) the frequency of leaks.
(I) other factors the Secretary decides are
relevant to the safety of pipeline facilities.
(2) To the extent and in amounts provided in advance
in an appropriation law, the Secretary shall decide on
the frequency of inspection under paragraph (1) of this
subsection. However, an inspection must occur at least
once every 2 years. [The Secretary may reduce the
frequency of an inspection of a master meter system.]
(3) Testing under this subsection shall use the most
appropriate technology practicable.
(c) Pipeline Facilities Offshore and in [Navigable Waters]
Other Waters._
(1) In this subsection--
(A) ``abandoned'' means permanently removed
from service.
(B) ``pipeline facility'' includes an
underwater abandoned pipeline facility.
(C) if a pipeline facility has no operator,
the most recent operator of the facility is
deemed to be the operator of the facility.
(2)(A) Not later than May 16, 1993, on the basis of
experience with the inspections under section
3(h)(1)(A) of the Natural Gas Pipeline Safety Act of
1968 or section 203(l)(1)(A) of the Hazardous Liquid
Pipeline Safety Act of 1979, as appropriate, and any
other information available to the Secretary, the
Secretary shall establish a mandatory, systematic, and,
where appropriate, periodic inspection program of--
(i) all offshore pipeline facilities; and
(ii) any other pipeline facility crossing
under, over, or through navigable waters (as
defined by the Secretary) if the Secretary
decides that the location of the facility in
those navigable waters could pose a hazard to
navigation or public safety.
(B) In prescribing [regulations] standards to carry
out subparagraph (A) of this paragraph--
(i) the Secretary shall identify what is a
hazard to navigation with respect to an
underwater abandoned pipeline facility; and
[(ii) for an underwater pipeline facility
abandoned after October 24, 1992, the Secretary
shall include requirements that will lessen the
potential that the facility will pose a hazard
to navigation and shall consider the
relationship between water depth and
navigational safety and factors relevant to the
local marine environment.]
(ii) any other pipeline facility crossing
under, over, or through waters where a
substantial likelihood of commercial navigation
exists, if the Secretary decides that the
location of the facility in those waters could
pose a hazard to navigation or public safety.
(3)(A) The Secretary shall establish by regulation a
program requiring an operator of a pipeline facility
described in paragraph (2) of this subsection to report
a potential or existing navigational hazard involving
that pipeline facility to the Secretary through the
appropriate Coast Guard office.
(B) The operator of a pipeline facility described in
paragraph (2) of this subsection that discovers any
part of the pipeline facility that is a hazard to
navigation shall mark the location of the hazardous
part with a Coast-Guard-approved marine buoy or marker
and immediately shall notify the Secretary as provided
by the Secretary under subparagraph (A) of this
paragraph. A marine buoy or marker used under this
subparagraph is deemed a pipeline sign or right-of-way
marker under section 60123(c) of this title.
(4)(A) The Secretary shall [require by regulation]
establish a standard that each pipeline facility
described in paragraph (2) of this subsection that is a
hazard to navigation is buried not later than 6 months
after the date the condition of the facility is
reported to the Secretary. The Secretary may extend
that 6-month period for a reasonable period to ensure
compliance with this paragraph.
(B) In prescribing [regulations] standards for
subparagraph (A) of this paragraph for an underwater
pipeline facility abandoned after October 24, 1992, the
Secretary shall include requirements that will lessen
the potential that the facility will pose a hazard to
navigation and shall consider the relationship between
water depth and navigational safety and factors
relevant to the local marine environment.
(5)(A) Not later than October 24, 1994, the Secretary
shall establish standards on what is an exposed
offshore pipeline facility and what is a hazard to
navigation under this subsection.
(B) Not later than 6 months after the Secretary
establishes standards under subparagraph (A) of this
paragraph, or October 24, 1995, whichever occurs first,
the operator of each offshore pipeline facility not
described in section 3(h)(1)(A) of the Natural Gas
Pipeline Safety Act of 1968 or section 203(l)(1)(A) of
the Hazardous Liquid Pipeline Safety Act of 1979, as
appropriate, shall inspect the facility and report to
the Secretary on any part of the facility that is
exposed or is a hazard to navigation. This subparagraph
applies only to a facility that is between the high
water mark and the point at which the subsurface is
under 15 feet of water, as measured from mean low
water. An inspection that occurred after October 3,
1989, may be used for compliance with this subparagraph
if the inspection conforms to the requirements of this
subparagraph.
(C) The Secretary may extend the time period
specified in subparagraph (B) of this paragraph for not
more than 6 months if the operator of a facility
satisfies the Secretary that the operator has made a
good faith effort, with reasonable diligence, but has
been unable to comply by the end of that period.
(6)(A) The operator of a pipeline facility abandoned
after October 24, 1992, shall report the abandonment to
the Secretary in a way that specifies whether the
facility has been abandoned properly according to
applicable United States Government and State
requirements.
(B) Not later than October 24, 1995, the operator of
a pipeline facility abandoned before October 24, 1992,
shall report to the Secretary reasonably available
information related to the facility, including
information that a third party possesses. The
information shall include the location, size, date, and
method of abandonment, whether the facility has been
abandoned properly under applicable law, and other
relevant information the Secretary may require. Not
later than April 24, 1994, the Secretary shall specify
how the information shall be reported. The Secretary
shall ensure that the Government maintains the
information in a way accessible to appropriate
Government agencies and State authorities.
(C) The Secretary shall request that a State
authority having information on a collision between a
vessel and an underwater pipeline facility report the
information to the Secretary in a timely way and make a
reasonable effort to specify the location, date, and
severity of the collision. Chapter 35 of title 44 [44
U.S.C. 3501 et seq.] does not apply to this
subparagraph.
(7) The Secretary may not exempt from this chapter
[49 U.S.C. 60101 et seq.] an offshore hazardous liquid
pipeline facility only because the pipeline facility
transfers hazardous liquid in an underwater pipeline
between a vessel and an onshore facility.
(d) Replacing Cast Iron Gas Pipelines.--
(1) The Secretary shall publish a notice on the
availability of industry guidelines, developed by the
Gas Piping Technology Committee, for replacing cast
iron pipelines. Not later than 2 years after the
guidelines become available, the Secretary shall
conduct a survey of gas pipeline operators with cast
iron pipe in their systems to establish--
(A) the extent to which each operator has
adopted a plan for the safe management and
replacement of cast iron;
(B) the elements of the plan, including the
anticipated rate of replacement; and
(C) the progress that has been made.
(2) Chapter 35 of title 44 [44 U.S.C. 3501 et seq.]
does not apply to the conduct of the survey.
(3) This subsection does not prevent the Secretary
from developing Government guidelines or [regulations]
standards for cast iron gas pipelines as the Secretary
considers appropriate.
Sec. 60109. High-density population areas and environmentally sensitive
areas
(a) Identification Requirements.--Not later than
October 24, 1994, the Secretary of Transportation shall
prescribe [regulations] standards that--
(1) establish criteria for identifying--
(A) by operators of gas pipeline facilities,
each gas pipeline facility (except a natural
gas distribution line) located in a high-
density population area; and
(B) by operators of hazardous liquid pipeline
facilities and gathering lines--
(i) each hazardous liquid pipeline
facility, whether otherwise subject to
this chapter [49 U.S.C. 60101 et seq.],
that crosses [a navigable waterway (as
the Secretary defines by regulation)]
waters where a substantial likelihood
of commercial navigation exists or that
is located in an area described in the
criteria as a high-density population
area; and
(ii) each hazardous liquid pipeline
facility and gathering line, whether
otherwise subject to this chapter [49
U.S.C. 60101 et seq.], located in an
area that the Secretary, in
consultation with the Administrator of
the Environmental Protection Agency,
describes as unusually sensitive to
environmental damage if there is a
hazardous liquid pipeline accident; and
(2) provide that the identification be carried out
through the inventory required under section 60102(e)
of this title.
[(b) Areas To Be Included As Unusually Sensitive.--When
describing an area that is unusually sensitive to environmental
damage if there is a hazardous liquid pipeline accident, the
Secretary shall consider including--
[(1) earthquake zones and areas subject to landslides
and other substantial ground movements;
[(2) areas of likely ground water contamination if a
hazardous liquid pipeline facility ruptures;
[(3) freshwater lakes, rivers, and waterways; and
[(4) river deltas and other areas subject to soil
erosion or subsidence from flooding or other water
action where a hazardous liquid pipeline facility is
likely to become exposed or undermined.]
(b) Areas To Be Included as Unusually Sensitive.--When
describing areas that are unusually sensitive to environmental
damage if there is a hazardous liquid pipeline accident, the
Secretary shall consider areas where a pipeline rupture would
likely cause permanent or long-term environmental damage,
including--
(1) locations near pipeline rights-of-way that are
critical to drinking water, including intake locations
for community water systems and critical sole source
aquifer protection areas; and
(2) locations near pipeline rights-of-way that have
been identified as critical wetlands, riverine or
estuarine systems, national parks, wilderness areas,
wildlife preservation areas or refuges, wild and scenic
rivers, or critical habitat areas for threatened and
endangered species.
Sec. 60110. Excess flow valves
(a) Application.--This section applies only to--
(1) a natural gas distribution system installed after
the effective date of regulations prescribed under this
section; and
(2) any other natural gas distribution system when
repair to the system requires replacing a part to
accommodate installing excess flow valves.
(b) Installation Requirements and Considerations.--Not
later than April 24, 1994, the Secretary of Transportation
shall prescribe [regulations] standards on the [circumstances]
circumstances, if any, under which an operator of a natural gas
distribution system must install excess flow valves in the
system. The Secretary shall consider--
(1) the system design pressure;
(2) the system operating pressure;
(3) the types of customers to which the distribution
system supplies gas, including hospitals, schools, and
commercial enterprises;
(4) the technical feasibility and cost of
[installing] installing, operating, and maintaining the
valve;
(5) the public safety benefits of installing the
valve;
(6) the location of customer meters; and
(7) other factors the Secretary considers relevant.
(c) Notification of Availability.--
(1) Not later than October 24, 1994, the Secretary
shall prescribe [regulations] standards requiring an
operator of a natural gas distribution system to notify
in writing its customers having lines in which excess
flow valves are not required by law but can be
installed according to the standards prescribed under
subsection (e) of this section, of--
(A) the availability of excess flow valves
for installation in the system;
(B) safety benefits to be derived from
installation; and
(C) costs associated with [installation.]
installation, maintenance, and replacement.
(2) The [regulations] standards shall provide that,
except when installation is required under subsection
(b) of this section, excess flow valves shall be
installed at the request of the customer if the
customer will pay all costs associated with
installation.
(d) Report.--If the Secretary decides under subsection (b)
of this section that there are no circumstances under which an
operator must install excess flow valves, the Secretary shall
submit to Congress a report on the reasons for the decision not
later than 30 days after the decision is made.
(e) Performance Standards.--Not later than April 24, 1994,
the Secretary shall develop standards for the performance of
excess flow valves used to protect lines in a natural gas
distribution system. The Secretary may adopt industry accepted
performance standards in order to comply with the requirement
under the preceding sentence. The standards shall be
incorporated into regulations the Secretary prescribes under
this section. All excess flow valves shall be installed
according to the standards.
Sec. 60113. Customer-owned natural gas service lines
(a) [Maintenance Information.--]Not later than October 24,
1993, the Secretary of Transportation shall prescribe
[regulations] standards requiring an operator of a natural gas
distribution pipeline that does not maintain customer-owned
natural gas service lines up to building walls to advise its
customers of--
(1) the requirements for maintaining those lines;
(2) any resources known to the operator that could
assist customers in carrying out the maintenance;
(3) information the operator has on operating and
maintaining its lines that could assist customers; and
(4) the potential hazards of not maintaining the
lines.
[(b) Actions to Promote Safety.--Not later than one year
after submitting the report required under section 115(b) of
the Pipeline Safety Act of 1992 (Public Law 102-508, 106 Stat.
3296), the Secretary, considering the report and in cooperation
and coordination with appropriate State and local authorities,
shall take appropriate action to promote the adoption of
measures to improve the safety of customer-owned natural gas
service lines.]
Sec. 60114. One-call notification systems
(a) Minimum Requirements.--The Secretary of Transportation
shall prescribe regulations providing minimum requirements for
establishing and operating a one-call notification system for a
State to adopt that will notify an operator of a pipeline
facility of activity in the vicinity of the facility that could
threaten the safety of the facility. The regulations shall
include the following:
(1) a requirement that the system apply to all areas
of the State containing underground pipeline
facilities.
(2) a requirement that a person intending to engage
in an activity the Secretary decides could cause
physical damage to an underground facility must contact
the appropriate system to establish if there are
underground facilities present in the area of the
intended activity.
(3) a requirement that all operators of underground
pipeline facilities participate in an appropriate one-
call notification system.
(4) qualifications for an operator of a facility, a
private contractor, or a State or local authority to
operate a system.
(5) procedures for advertisement and notice of the
availability of a system.
(6) a requirement about the information to be
provided by a person contacting the system under clause
(2) of this subsection.
(7) a requirement for the response of the operator of
the system and of the facility after they are contacted
by an individual under this subsection.
(8) a requirement that each State decide whether the
system will be toll free.
(9) a requirement for sanctions substantially the
same as provided under sections [60120, 60122, and
60123] 60120 and 60122 of this title.
[(b) Grants.--The Secretary may make a grant to a State under
this section to develop and establish a one-call notification
system consistent with subsection (a) of this section.]
[(c)] (b) Marking Facilities.--On notification by an operator
of a damage prevention program or by a person planning to carry
out demolition, excavation, tunneling, or construction in the
vicinity of a pipeline facility, the operator of the facility
shall mark accurately, in a reasonable and timely way, the
location of the pipeline facilities in the vicinity of the
demolition, excavation, tunneling, or construction.
[(d) Apportionment.--When apportioning the amount
appropriated to carry out section 60107 of this title among the
States, the Secretary--
[(1) shall consider whether a State has adopted or is
seeking adoption of a one-call notification system
under this section; and
[(2) shall withhold part of a payment under section
60107 of this title when the Secretary decides a State
has not adopted, or is not seeking adoption of, a one-
call notification system.]
[(e)] (c) Relationship to Other Laws.--This section and
regulations prescribed under this section do not affect the
liability established under a law of the United States or a
State for damage caused by an activity described in subsection
(a)(2) of this section.
Sec. 60115. Technical safety standards committees
(a) Organization.--The Technical Pipeline Safety Standards
Committee and the Technical Hazardous Liquid Pipeline Safety
Standards Committee are committees in the Department of
Transportation. The committees referred to in the preceding
sentence shall serve as peer review committees for carrying out
this chapter. Peer reviews conducted by the committees shall be
treated for purposes of all Federal laws relating to risk
assessment and peer review (including laws that take effect
after the date of the enactment of the Accountable Pipeline
Safety Partnership Act of 1996) as meeting any peer review
requirements of such laws.
(b) Composition and Appointment.--
(1) The Technical Pipeline Safety Standards Committee
is composed of 15 members appointed by the Secretary of
Transportation after consulting with public and private
agencies concerned with the technical aspect of
transporting gas or operating a gas pipeline facility.
Each member must be experienced in the safety
regulation of transporting gas and of gas pipeline
facilities or technically qualified, by training,
experience, or knowledge in at least one field of
engineering applicable to transporting gas or operating
a gas pipeline facility, to evaluate gas pipeline
safety standards or risk management principles.
(2) The Technical Hazardous Liquid Pipeline Safety
Standards Committee is composed of 15 members appointed
by the Secretary after consulting with public and
private agencies concerned with the technical aspect of
transporting hazardous liquid or operating a hazardous
liquid pipeline facility. Each member must be
experienced in the safety regulation of transporting
hazardous liquid and of hazardous liquid pipeline
facilities or technically qualified, by training,
experience, or knowledge in at least one field of
engineering applicable to transporting hazardous liquid
or operating a hazardous liquid pipeline facility, to
evaluate hazardous liquid pipeline safety standards or
risk management principles.
(3) The members of each committee are appointed as
follows:
(A) 5 individuals selected from departments,
agencies, and instrumentalities of the United
States Government and of the States.
(B) [4] 5 individuals selected from the
natural gas or hazardous liquid industry, as
appropriate, after consulting with industry
representatives.
(C) [6] 5 individuals selected from the
general public.
(4)(A) Two of the individuals selected for each
committee under paragraph (3)(A) of this subsection
must be State commissioners. The Secretary shall
consult with the national organization of State
commissions before selecting those 2 individuals.
(B) At least 3 of the individuals selected for each
committee under paragraph (3)(B) of this subsection
must be currently in the active operation of natural
gas pipelines or hazardous liquid pipeline facilities,
as appropriate. At least 1 of the individuals selected
for each committee under paragraph (3)(B) shall have
education, background, or experience in risk assessment
and cost-benefit analysis. The Secretary shall consult
with the national organizations representing the owners
and operators of pipeline facilities before selecting
individuals under paragraph (3)(B).
(C) Two of the individuals selected for each
committee under paragraph (3)(C) of this subsection
must have education, background, or experience in
environmental protection or public safety. At least 1
of the individuals selected for each committee under
paragraph (3)(C) shall have education, background, or
experience in risk assessment and cost-benefit
analysis. At least one individual selected for each
committee under paragraph (3)(C) may not have a
financial interest in the pipeline, petroleum, or
natural gas industries.
(c) Committee Reports on Proposed Standards.--
(1) The Secretary shall give to--
(A) the Technical Pipeline Safety Standards
Committee each standard proposed under this
chapter [49 U.S.C. 60101 et seq.] for
transporting gas and for gas pipeline
facilities including the risk assessment
information and other analyses supporting each
proposed standard; and
(B) the Technical Hazardous Liquid Pipeline
Safety Standards Committee each standard
proposed under this chapter [49 U.S.C. 60101 et
seq.] for transporting hazardous liquid and for
hazardous liquid pipeline facilities including
the risk assessment information and other
analyses supporting each proposed standard.
(2) Not later than 90 days after receiving the
proposed standard and supporting analyses, the
appropriate committee shall prepare and submit to the
Secretary a report on the technical feasibility,
reasonableness, cost-effectiveness, and practicability
of the proposed standard and include in the report
recommended actions. The Secretary shall publish each
report, including any recommended actions and minority
views. The report if timely made is part of the
proceeding for prescribing the standard. The Secretary
is not bound by the conclusions of the committee.
However, if the Secretary rejects the conclusions of
the committee, the Secretary shall publish the reasons.
(3) The Secretary may prescribe a standard after the
end of the 90-day period.
(d) Proposed Committee Standards and Policy Development
Recommendations.--
(1) The Technical Pipeline Safety Standards Committee
may propose to the Secretary a safety standard for
transporting gas and for gas pipeline facilities. The
Technical Hazardous Liquid Pipeline Safety Standards
Committee may propose to the Secretary a safety
standard for transporting hazardous liquid and for
hazardous liquid pipeline facilities.
(2) If requested by the Secretary, a committee shall
make policy development recommendations to the
Secretary.
(e) Meetings.--Each committee shall meet with the Secretary
at least [twice] up to 4 times annually. Each committee
proceeding shall be recorded. The record of the proceeding
shall be available to the public.
(f) [Pay and] Expenses.--[The Secretary may establish the pay
for each member of a committee for each day (including travel
time) when performing duties of the committee. However, a
member may not be paid more than the daily equivalent of the
maximum annual rate of basic pay payable under section 5376 of
title 5.] A member of a committee under this section is
entitled to expenses under section 5703 of title 5. A payment
under this subsection does not make a member an officer or
employee of the Government. This subsection does not apply to
members regularly employed by the Government.
Sec. 60116. Public education programs
Under regulations the Secretary of Transportation prescribes,
each [person transporting gas] owner or operator of a gas
pipeline facility shall carry out a program to educate the
public on the use of a one-call notification system prior to
excavation, the possible hazards associated with gas [leaks]
leaks, and the importance of reporting gas odors and leaks to
the appropriate authority. The Secretary may develop material
suitable for use in the program.
Sec. 60117. Administrative
(a) General Authority.--To carry out this chapter [49 U.S.C.
60101 et seq.], the Secretary of Transportation may conduct
investigations, make reports, issue subpenas, conduct hearings,
require the production of records, take depositions, and
conduct research, testing, development, demonstration, and
training activities and promotional activities relating to
prevention of damage to pipeline facilities. The Secretary may
not charge a tuition-type fee for training State or local
government personnel in the enforcement of regulations
prescribed under this chapter [49 U.S.C. 60101 et seq.].
(b) Records, Reports, and Information.--To enable the
Secretary to decide whether a person [transporting gas or
hazardous liquid] owning or operating a pipeline facility is
complying with this chapter [49 U.S.C. 60101 et seq.] and
standards prescribed or orders issued under this chapter [49
U.S.C. 60101 et seq.], the person shall--
(1) maintain records, make reports, and provide
information the Secretary requires; and
(2) make the records, reports, and information
available when the Secretary requests.
The Secretary may require owners and operators of gathering
lines to provide the Secretary information pertinent to the
Secretary's ability to make a determination as to whether and
to what extent to regulate gathering lines.
(c) Entry and Inspection.--An officer, employee, or agent of
the Department of Transportation designated by the Secretary,
on display of proper credentials to the individual in charge,
may enter premises to inspect the records and property of a
person at a reasonable time and in a reasonable way to decide
whether a person is complying with this chapter [49 U.S.C.
60101 et seq.] and standards prescribed or orders issued under
this chapter [49 U.S.C. 60101 et seq.].
(d) Confidentiality of Information.--Information related to a
confidential matter referred to in section 1905 of title 18 [18
U.S.C. 1905] that is obtained by the Secretary or an officer,
employee, or agent in carrying out this section may be
disclosed only to another officer or employee concerned with
carrying out this chapter [49 U.S.C. 60101 et seq.] or in a
proceeding under this chapter [49 U.S.C. 60101 et seq.].
(e) Use of Accident Reports.--
(1) Each accident report made by an officer,
employee, or agent of the Department may be used in a
judicial proceeding resulting from the accident. The
officer, employee, or agent may be required to testify
in the proceeding about the facts developed in
investigating the accident. The report shall be made
available to the public in a way that does not identify
an individual.
(2) Each report related to research and demonstration
projects and related activities is public information.
(f) Testing Facilities Involved in Accidents.--The Secretary
may require testing of a part of a pipeline facility subject to
this chapter [49 U.S.C. 60101 et seq.] that has been involved
in or affected by an accident only after--
(1) notifying the appropriate State official in the
State in which the facility is located; and
(2) attempting to negotiate a mutually acceptable
plan for testing with the owner of the facility and,
when the Secretary considers appropriate, the National
Transportation Safety Board.
(g) Providing Safety Information.--On request, the Secretary
shall provide the Federal Energy Regulatory Commission or
appropriate State authority with information the Secretary has
on the safety of material, operations, devices, or processes
related to pipeline transportation or operating a pipeline
facility.
(h) Cooperation.--The Secretary may--
(1) advise, assist, and cooperate with other
departments, agencies, and instrumentalities of the
United States Government, the States, and public and
private agencies and persons in planning and developing
safety standards and ways to inspect and test to decide
whether those standards have been complied with;
(2) consult with and make recommendations to other
departments, agencies, and instrumentalities of the
Government, State and local governments, and public and
private agencies and persons to develop and encourage
activities, including the enactment of legislation,
that will assist in carrying out this chapter [49
U.S.C. 60101 et seq.] and improve State and local
pipeline safety programs; and
(3) participate in a proceeding involving safety
requirements related to a liquefied natural gas
facility before the Commission or a State authority.
(i) Promoting Coordination.--
(1) After consulting with appropriate State
officials, the Secretary shall establish procedures to
promote more effective coordination between
departments, agencies, and instrumentalities of the
Government and State authorities with regulatory
authority over pipeline facilities about responses to a
pipeline accident.
(2) In consultation with the Occupational Safety and
Health Administration, the Secretary shall establish
procedures to notify the Administration of any pipeline
accident in which an excavator that has caused damage
to a pipeline may have violated a regulation of the
Administration.
(j) Withholding Information from Congress.--This section does
not authorize information to be withheld from a committee of
Congress authorized to have the information.
(k) Authority for Cooperative Agreements.--To carry out this
chapter, the Secretary may enter into grants, cooperative
agreements, and other transactions with any person, agency, or
instrumentality of the United States, any unit of State or
local government, any educational institution, or any other
entity to further the objectives of this chapter. The
objectives of this chapter include the development,
improvement, and promotion of one-call damage prevention
programs, research, risk assessment, and mapping.
Sec. 60118. Compliance and waivers
(a) General Requirements.--A person [transporting gas or
hazardous liquid or] owning or operating a pipeline facility
shall--
[(1) comply with applicable safety standards
prescribed under this chapter [49 U.S.C. 60101 et
seq.], except as provided in this section;]
(1) comply with applicable safety standards
prescribed under this chapter, except as provided in
this section or in section 60126;
(2) prepare and carry out a plan for inspection and
maintenance required under section 60108(a) and (b) of
this title; and
(3) allow access to or copying of records, make
reports and provide information, and allow entry or
inspection required under section 60117(a)-(d) of this
title.
[(b) Compliance Orders.--The Secretary of Transportation may
issue orders directing compliance with this chapter [49 U.S.C.
60101 et seq.] or a regulation prescribed under this chapter
[49 U.S.C. 60101 et seq.]. An order shall state clearly the
action a person must take to comply.]
(b) Compliance Orders.--The Secretary of Transportation may
issue orders directing compliance with this chapter, an order
under section 60126, or a regulation prescribed under this
chapter. An order shall state clearly the action a person must
take to comply.
(c) Waivers by Secretary.--On application of a person
[transporting gas or hazardous liquid] owning or operating a
pipeline facility, the Secretary by order may waive compliance
with any part of an applicable standard prescribed under this
chapter [49 U.S.C. 60101 et seq.] on terms the Secretary
considers appropriate, if the waiver is not inconsistent with
pipeline safety. The Secretary shall state the reasons for
granting a waiver under this subsection. The Secretary may act
on a waiver only after notice and an opportunity for a hearing.
(d) Waivers by State Authorities.--If a certification under
section 60105 of this title or an agreement under section 60106
of this title is in effect, the State authority may waive
compliance with a safety standard to which the certification or
agreement applies in the same way and to the same extent the
Secretary may waive compliance under subsection (c) of this
section. However, the authority must give the Secretary written
notice of the waiver at least 60 days before its effective
date. If the Secretary makes a written objection before the
effective date of the waiver, the waiver is stayed. After
notifying the authority of the objection, the Secretary shall
provide a prompt opportunity for a hearing. The Secretary shall
make the final decision on granting the waiver.
Sec. 60123. Criminal penalties
(a) General Penalty.--A person knowingly and willfully
violating section [60114(c) or 60118(a)] 60114(c), 60118(a), or
60128 of this title or a regulation prescribed or order issued
under this chapter [49 U.S.C. 60101 et seq.] shall be fined
under title 18, imprisoned for not more than 5 years, or both.
(b) Penalty for Damaging or Destroying Facility.--A person
knowingly and willfully damaging or destroying, or attempting
to damage or destroy, an interstate gas pipeline facility or
interstate hazardous liquid pipeline facility shall be fined
under title 18, imprisoned for not more than 15 years, or both.
(c) Penalty for Damaging or Destroying Sign.--A person
knowingly and willfully defacing, damaging, removing, or
destroying a pipeline sign or right-of-way marker required by a
law or regulation of the United States shall be fined under
title 18, imprisoned for not more than one year, or both.
(d) Penalty for Not Using One-call Notification System or Not
Heeding Location Information or Markings.--A person shall be
fined under title 18, imprisoned for not more than 5 years, or
both, if the person knowingly and willfully--
(1) engages in an excavation activity--
(A) without first using an available one-call
notification system to establish the location
of underground facilities in the excavation
area; or
(B) without paying attention to appropriate
location information or markings the operator
of a pipeline facility establishes; and
(2) subsequently damages--
(A) a pipeline facility that results in
death, serious bodily harm, or actual damage to
property of more than $50,000; [or]
(B) a pipeline facility that does not report
the damage promptly to the operator of the
pipeline facility and to other appropriate
authorities; or
[(B)] (C) a hazardous liquid pipeline
facility that results in the release of more
than 50 barrels of product.
Sec. 60124. [Annual] Biennial reports
(a) Submission and Contents.--[The Secretary of
Transportation shall submit to Congress not later than August
15 of each odd-numbered year a report on carrying out this
chapter [49 U.S.C. 60101 et seq.] for the prior calendar year
for gas and a report on carrying out this chapter [49 U.S.C.
60101 et seq.] for the prior calendar year for hazardous
liquid.] Not later than August 15, 1997, and every 2 years
thereafter, the Secretary of Transportation shall submit to
Congress a report on carrying out this chapter for the 2
immediately preceding calendar years for gas and a report on
carrying out this chapter for such period for hazardous liquid.
Each report shall include the following information about the
prior year for gas or hazardous liquid, as appropriate:
(1) a thorough compilation of the leak repairs,
accidents, and casualties and a statement of cause when
investigated and established by the National
Transportation Safety Board.
(2) a list of applicable pipeline safety standards
prescribed under this chapter [49 U.S.C. 60101 et seq.]
including identification of standards prescribed during
the year.
(3) a summary of the reasons for each waiver granted
under section 60118(c) and (d) of this title.
(4) an evaluation of the degree of compliance with
applicable safety standards, including a list of
enforcement actions and compromises of alleged
violations by location and company name.
(5) a summary of outstanding problems in carrying out
this chapter [49 U.S.C. 60101 et seq.], in order of
priority.
(6) an analysis and evaluation of--
(A) research activities, including their
policy implications, completed as a result of
the United States Government and private
sponsorship; and
(B) technological progress in safety
achieved.
(7) a list, with a brief statement of the issues, of
completed or pending judicial actions under this
chapter [49 U.S.C. 60101 et seq.].
(8) the extent to which technical information was
distributed to the scientific community and consumer-
oriented information was made available to the public.
(9) a compilation of certifications filed under
section 60105 of this title that were--
(A) in effect; or
(B) rejected in any part by the Secretary and
a summary of the reasons for each rejection.
(10) a compilation of agreements made under section
60106 of this title that were--
(A) in effect; or
(B) ended in any part by the Secretary and a
summary of the reasons for ending each
agreement.
(11) a description of the number and qualifications
of State pipeline safety inspectors in each State for
which a certification under section 60105 of this title
or an agreement under section 60106 of this title is in
effect and the number and qualifications of inspectors
the Secretary recommends for that State.
(12) recommendations for legislation the Secretary
considers necessary--
(A) to promote cooperation among the States
in improving--
(i) gas pipeline safety; or
(ii) hazardous liquid pipeline safety
programs; and
(B) to strengthen the national gas pipeline
safety program.
(b) Submission of One Report.--The Secretary may submit one
report to carry out subsection (a) of this section.
Sec. 60125. Authorization of appropriations
[(a) Gas.--Not more than the following amounts may be
appropriated to the Secretary of Transportation to carry out
this chapter [49 U.S.C. 60101 et seq.] (except sections 60107
and 60114(b)) related to gas:
[(1) $6,857,000 for the fiscal year ending September
30, 1993.
[(2) $7,000,000 for the fiscal year ending September
30, 1994.
[(3) $7,500,000 for the fiscal year ending September
30, 1995.]
(a) Gas and Hazardous Liquid.--To carry out this chapter
(except for sections 60107 and 60114(b)) related to gas and
hazardous liquid, there are authorized to be appropriated to
the Department of Transportation--
(1) $19,448,000 for fiscal year 1996;
(2) $20,028,000 for fiscal year 1997, of which
$14,600,000 is to be derived from user fees for fiscal
year 1997 collected under section 60301 of this title;
(3) $20,729,000 for fiscal year 1998, of which
$15,100,000 is to be derived from user fees for fiscal
year 1998 collected under section 60301 of this title;
(4) $21,442,000 for fiscal year 1999, of which
$15,700,000 is to be derived from user fees for fiscal
year 1999 collected under section 60301 of this
title''; and
(5) $22,194,000 for fiscal year 2000, of which
$16,300,000 is to be derived from user fees for fiscal
year 2000 collected under section 60301 of this title.
(b) Hazardous Liquid.--Not more than the following amounts
may be appropriated to the Secretary to carry out this chapter
[49 U.S.C. 60101 et seq.] (except sections 60107 and 60114(b))
related to hazardous liquid:
(1) $1,728,500 for the fiscal year ending September
30, 1993.
(2) $1,866,800 for the fiscal year ending September
30, 1994.
(3) $2,000,000 for the fiscal year ending September
30, 1995.
(c) State Grants.--
(1) Not more than the following amounts may be
appropriated to the Secretary to carry out section
60107 of this title:
(A) $7,750,000 for the fiscal year ending
September 30, 1993.
(B) $9,000,000 for the fiscal year ending
September 30, 1994.
(C) $10,000,000 for the fiscal year ending
September 30, 1995.
(D) $12,000,000 for fiscal year 1996.
(E) $14,000,000 for fiscal year 1997, of
which $12,500,000 is to be derived from user
fees for fiscal year 1997 collected under
section 60301 of this title.
(F) $14,490,000 for fiscal year 1998, of
which $12,900,000 is to be derived from user
fees for fiscal year 1998 collected under
section 60301 of this title.
(G) $15,000,000 for fiscal year 1999, of
which $13,300,000 is to be derived from user
fees for fiscal year 1999 collected under
section 60301 of this title.
(H) $15,524,000 for fiscal year 2000, of
which $13,700,000 is to be derived from user
fees for fiscal year 2000 collected under
section 60301 of this title.
(2) At least 5 percent of amounts appropriated to
carry out United States Government grants-in-aid
programs for a fiscal year are available only to carry
out section 60107 of this title related to hazardous
liquid.
(3) Not more than 20 percent of a pipeline safety
program grant under section 60107 of this title may be
allocated to indirect expenses.
(d) Grants for One-call Notification Systems.--Not more than
$-------- may be appropriated to the Secretary for the fiscal
year ending September 30, 19--, to carry out section 60114(b)
of this title. Amounts under this subsection remain available
until expended.
(e) Crediting Appropriations for Expenditures for Training.--
The Secretary may credit to an appropriation authorized under
subsection (a) or (b) of this section amounts received from
sources other than the Government for reimbursement for
expenses incurred by the Secretary in providing training.
(f) Availability of Unused Amounts for Grants.--
(1) The Secretary shall make available for grants to
States amounts appropriated for each of the fiscal
years that ended September 30, 1986, and 1987, that
have not been expended in making grants under section
60107 of this title.
(2) A grant under this subsection is available to a
State that after December 31, 1987--
(A) undertakes a new responsibility under
section 60105 of this title; or
(B) implements a one-call damage prevention
program established under State law.
(3) This subsection does not authorize a State to
receive more than 50 percent of its allowable pipeline
safety costs from a grant under this chapter [49 U.S.C.
60101 et seq.].
(4) A State may receive not more than $75,000 under
this subsection.
(5) Amounts under this subsection remain available
until expended.
Sec. 60126. Risk Management
(a) Risk Management Program Demonstration Projects.--
(1) In general.--The Secretary shall establish risk
management demonstration projects--
(A) to demonstrate, through the voluntary
participation by owners and operators of gas
pipeline facilities and hazardous liquid
pipeline facilities, the application of risk
management; and
(B) to evaluate the application of risk
management referred to in subparagraph (A).
(2) Exemptions.--In carrying out a demonstration
project under this subsection, the Secretary, by
order--
(A) may exempt an owner or operator of the
pipeline facility covered under the project
(referred to in this subsection as a ``covered
pipeline facility''), the applicability of all
or a portion of the requirements under this
chapter that would otherwise apply to the
covered pipeline facility; and
(B) shall exempt, for the period of the
project, an owner or operator of the covered
pipeline facility, the applicability of any new
standard that the Secretary promulgates under
this chapter during the period of that
participation, with respect to the covered
facility.
(b) Requirements.--In carrying out a demonstration project
under this section, the Secretary shall--
(1) invite owners and operators of pipeline
facilities to submit risk management plans for timely
approval by the Secretary;
(2) require, as a condition of approval, that a risk
management plan submitted under this subsection contain
measures that are designed to achieve an equivalent or
greater overall level of safety than would otherwise be
achieved through compliance with the standards
contained in this chapter or promulgated by the
Secretary under this chapter;
(3) provide for--
(A) collaborative government and industry
training;
(B) methods to measure the safety performance
of risk management plans;
(C) the development and application of new
technologies;
(D) the promotion of community awareness
concerning how the overall level of safety will
be maintained or enhanced by the demonstration
project;
(E) the development of models that categorize
the risks inherent to each covered pipeline
facility, taking into consideration the
location, volume, pressure, and material
transported or stored by that pipeline
facility;
(F) the application of risk assessment and
risk management methodologies that are suitable
to the inherent risks that are determined to
exist through the use of models developed under
subparagraph (E);
(G) the development of project elements that
are necessary to ensure that--
(i) the owners and operators that
participate in the demonstration
project demonstrate that they are
effectively managing the risks referred
to in subparagraph (E); and
(ii) the risk management plans
carried out under the demonstration
project under this subsection can be
audited;
(H) a process whereby an owner or operator of
a pipeline facility is able to terminate a risk
management plan or, with the approval of the
Secretary, to amend, modify, or otherwise
adjust a risk management plan referred to in
paragraph (1) that has been approved by the
Secretary pursuant to that paragraph to respond
to--
(i) changed circumstances; or
(ii) a determination by the Secretary
that the owner or operator is not
achieving an overall level of safety
that is at least equivalent to the
level that would otherwise be achieved
through compliance with the standards
contained in this chapter or
promulgated by the Secretary under this
chapter; and
(I) such other elements as the Secretary,
with the agreement of the owners and operators
that participate in the demonstration project
under this section, determines to further the
purposes of this section; and
(4) in selecting participants for the demonstration
project, take into consideration the past safety and
regulatory performance of each applicant who submits a
risk management plan pursuant to paragraph (1).
(c) Emergencies and Revocations.--Nothing in this section
diminishes or modifies the Secretary's authority under this
title to act in case of an emergency. The Secretary may revoke
any exemption granted under this section for substantial
noncompliance with the terms and conditions of an approved risk
management plan.
(d) Participation by State Authority.--In carrying out this
section, the Secretary may provide for consultation by a State
that has in effect a certification under section 60105. To the
extent that a demonstration project comprises an intrastate
natural gas pipeline or an intrastate hazardous liquid pipeline
facility, the Secretary may make an agreement with the State
agency to carry out the duties of the Secretary for approval
and administration of the project.
(e) Report.--Not later than March 31, 2000, the Secretary
shall transmit to the Congress a report on the results of the
demonstration projects carried out under this section that
includes--
(1) an evaluation of each such demonstration project,
including an evaluation of the performance of each
participant in that project with respect to safety and
environmental protection; and
(2) recommendations concerning whether the
applications of risk management demonstrated under the
demonstration project should be incorporated into the
Federal pipeline safety program under this chapter on a
permanent basis.
Sec. 60127. Population encroachment
(a) Land Use Recommendations.--The Secretary of
Transportation shall make available to an appropriate official
of each State, as determined by the Secretary, the land use
recommendations of the special report numbered 219 of the
Transportation Research Board, entitled ``Pipelines and Public
Safety''.
(b) Evaluation.--The Secretary shall--
(1) evaluate the recommendations in the report
referred to in subsection (a);
(2) determine to what extent the recommendations are
being implemented;
(3) consider ways to improve the implementation of
the recommendations; and
(4) consider other initiatives to further improve
awareness of local planning and zoning entities
regarding issues involved with population encroachment
in proximity to the rights-of-way of any interstate gas
pipeline facility or interstate hazardous liquid
pipeline facility.
Sec. 60128. Dumping within pipeline rights-of-way
(a) Prohibition.--No person shall excavate for the purpose of
unauthorized disposal within the right-of-way of an interstate
gas pipeline facility or interstate hazardous liquid pipeline
facility, or any other limited area in the vicinity of any such
interstate pipeline facility established by the Secretary of
Transportation, and dispose solid waste therein.
(b) Definition.--For purposes of this section, the term
``solid waste'' has the meaning given that term in section
1004(27) of the Solid Waste Disposal Act (42 U.S.C. 6903(27)).
